The Residential Specialist, Jan/Feb 2016 by The Residential Specialist

residential jan + feb

B US I N E S S I N TELL IGE N CE FOR THE CR S PROFE S S IONA L

2016

THE

SPECIALIST ALSO IN THIS

ISSUE

forging a partnership the basics of curb appeal developing new business leads

are you ready for the cloud? a guide to reverse mortgages CRS classes away from home

NORTHERN

LIGHT

2016 CRS President Janelle Pfleiger, CRS, is perfectly positioned to lead the Council to new destinations

CRS-016

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contents

Jan 20 Feb 16 vol. 15, no. 1

features

NORTHERN LIGHT 18 2016 CRS President Janelle Pfleiger is well positioned to lead the Council in a new direction. Interview by Mike Fenner

HOWDY, PARTNER

A thoroughly planned partnership venture can bring satisfying results for all parties. By Regina Ludes

READY FOR A CLOSEUP

How CRSs can make sure their listings have curb appeal — and convince their sellers that it’s worth the investment. By Gayle Bennett

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GAINING SOME PROSPECTIVE

An updated take on how to develop new business leads. By Donna Shryer

The Council of Residential Specialists

crs.com

Jan Feb

contents

Jan 20 Feb 16

vol. 15, no. 1

departments 4 VANTAGE POINT

By Janelle Pfleiger, CRS

5 SHORT LIST

NAR survey reveals homeownership views, and a housing shortage exists in metro areas.

9 COOL STUFF

Personal fitness and health products provide feedback and keep records of your progress.

10 SMART SOLUTIONS

Cloud computing is transforming the way REALTORS® do their jobs, making everything from managing and accessing files to writing contracts easier and more efficient than ever. By Daniel Rome Levine

12 INSIDE TRACK

REALTORS® can provide a valuable service to seniors considering a reverse mortgage.

inside CRS

By Cheryl Winokur Munk

14 WINDOW OF OPPORTUNITY

37 NEWS FROM THE COUNCIL

Traveling to CRS classes and events can lead to a lifetime of referrals.

2016 to build on the achievements of 2015, meet the new CRS leadership team and 2015 award winners.

By Megan Kramer

16 PEER TO PEER

Kim Knapp, CRS, of Coldwell Banker Vanguard, Fleming Island, Florida

34 WORK + LIFE

Smartcuts: How Hackers, Innovators, and Icons Accelerate Success by Shane Snow Reviewed by Allan Fallow

40 LEARN FROM THE BEST

The sky’s the limit — simple strategies both new agents and veterans can use to succeed.

41 CRS CONNECT 48 ASK A CRS

Java Jones How to make a great cup of coffee at home.

Advice from the country’s top agents.

ON LY A T TR S MAG. C OM THE RESIDENTIAL SPECIALIST ONLINE Visit the website at trsmag.com to access the digital edition of The Residential Specialist.

6 BENEFITS OF BEING A CRS

Q&A WITH CRS PRESIDENT

CRS Certified Instructor Rich Sands describes the benefits of taking CRS Courses and taking advantage of member benefits.

2016 CRS President Janelle Pfleiger discusses the importance of positioning CRS for the future.

Coming Next Issue ... B US I N E S S I N TE L L I GE N C E F OR TH E CR S PR OFE S S I O NA L

State of the New-Home Market What is the current state of the new-home market as well as future prospects? Hear what homebuilders have to say about this ever-changing market and where it’s headed in 2016. Pricing Strategies CRSs reveal the metrics they use to determine the proper price for a home and tactics for negotiating with the client. Find out how many homes sell above and below the asking price.

EDITOR Michael Fenner mfenner@crs.com 800.462.8841 2016 COMMUNICATIONS ADVISORY PANEL Moderator: Lois Cox, CRS Co-Moderator: Marylea Todd, CRS 2016 COMMUNICATIONS ADVISORY PANEL MEMBERS Paula Angelopoulos Urbinati, CRS Bradley Fry, CRS Daniel Kijner, CRS Susanna Madden, CRS Colleen McKean, CRS Sandy McRae, CRS Georgia Meacham, CRS Margie Medlin, CRS Thai-Hung Nguyen, CRS Sandra Nickel, CRS Vivian Pike, CRS Debbie Solano, CRS Paul Wilson, CRS Arleen Yobs, CRS STAFF WRITER Charlee Gibson CONTRIBUTING WRITERS Gayle Bennett Michael Fenner Megan Kramer Daniel Rome Levine Regina Ludes Cheryl Winokur Munk Donna Shryer OFFICERS: 2016 President Janelle Pfleiger, CRS Chief Executive Officer Lana Vukovljak 2016 President-Elect Leigh Brown, CRS 2016 First Vice President Gary Williams, CRS 2016 Immediate Past President Dale Carlton, CRS

PUBLICATION MANAGEMENT www.glcdelivers.com Publishing Manager Phil Malkinson Art Director Scott Oldham Advertising Manager Michael J. Mrvica M.J. Mrvica Associates, Inc. 856.768.9360 mjmrvica@mrvica.com The Residential Specialist is published for Certified Residential Specialists, General Members and Subscribers by the Council of Residential Specialists. The magazine’s mission is: To be a superior educational resource for CRS Designees and Members, providing the information and tools they need to be exceptionally successful in selling residential real estate. The Residential Specialist is published bimonthly by the Council of Residential Specialists, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092. Periodicals postage paid at Chicago, IL, and additional mailing offices. Change of address? Email requests to crshelp@crs.com, call Customer Service at 800.462.8841 or mail to CRS at the above address. The Residential Specialist (USPS-0021699, ISSN 1539-7572) is distributed to members of the Council as part of their membership dues. Non-members may purchase subscriptions for $29.95 per year in the U.S., $44.95 in Canada and $89.95 in other international countries. All articles and paid advertising represent the opinions of the authors and advertisers, not the Council. POSTMASTER: Please send address changes to: The Residential Specialist, c/o Council of Residential Specialists, 430 North Michigan Ave., Suite 300, Chicago, IL 60611-4092. COPYRIGHT 2016 by the Council of Residential Specialists. All rights reserved. Printed in U.S.A.

Retirement Planning Searching for an exit strategy? Learn about investment tools and sources of sound retirement advice. Hear from CRSs who have retired and what they would do differently. Flood Zone Update Floods: What regions are at risk and what homeowners should know about flood insurance and current regulations.

PLUS:

The FAA announced new regulations requiring drones to be registered. Find out how REALTORS® are using drones and their significance for the real estate industry. Would you like to be a source for a future story in The Residential Specialist? Send an email to mfenner@crs.com

to be added to our potential source list. To see a list of the topics we’ll be covering, check out the magazine’s 2016 editorial calendar online at crs.com.

WHO ON YOUR

TEAM could benefit by receiving a personal copy of The Residential Specialist?

STAY INFORMED The Council of Residential Specialists provides superior education, exceptional networking opportunities and critical resources. The Council’s flagship magazine, The Residential Specialist, delivers the latest industry trends, success stories and proven strategies to grow your business.

crs.com

To subscribe for yourself or a colleague, call 800.462.8841. Note: Members of the Council of Residential Specialists receive the magazine as part of their member benefits.

[vantage point]

from the desk of A. Janelle Pfleiger, CRS, CLHMS, GRI, CDPE 2016 president

embrace change Ø

Photo: Jeff Schultz

The Council is making important strategic changes to move us forward and become a stronger, more innovative and more critical resource for our industry. As 2016 CRS President, I stress the need for all CRS Members and volunteers to embrace change and help us position CRS to be the organization that serves agents for the entirety of their career. I applaud the work we have already accomplished together to implement the new State CRS community model and the changes we are making to ensure the Council is more responsive and proactive in the marketplace. A more nimble CRS will allow us to develop new exceptional and relevant educational programs, deliver more timely and useful information and create more profitable business opportunities for all CRS members. The Council has already introduced several complimentary new and exclusive member benefits. If you haven’t done so already, please take advantage of them. These include: ÄÄNew State CRS online communities. ÄThe Ä new and improved CRS Referral Network, including an enhanced “Find a CRS” directory and the new “CRS Qualified Consumer Leads” service (powered by ReferralExchange). ÄÄComplimentary Inman Select news service via CRS.com. ÄÄExclusive discount on the Deductr expense tracking software for CRS Designees. ÄThe Ä new CRS Pop-Up Store, which includes on-demand CRS-branded merchandise. ÄThe Ä CRS Marketplace (opening in January), which offers value-added products and services relevant to CRS members. We want all CRS Members to be passionate about CRS. Please consider being an ambassador for the Council, listen for and share industry trends, invite non-CRSs to join the Council, be inclusive rather than exclusive and mentor new CRS Designees. Together we can lead change that benefits us all. I’m proud to serve this organization that I love, and I look forward to taking on all the opportunities we have in the coming year. Here is to a great 2016 together!

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[short list]

+ industry headlines + statistics + trends

LIVE OOLONG

and prosper

The amount of Chinese-speaking homebuyers who paid cash for U.S. properties has increased 229 percent in the past 10 years, according to a recent study by RealtyTrac. The study analyzed public sales deeds during a 17-month period in 2014 and 2015, then compared them to 2005 by buyer ethnicity and native language. The study found that in 2005, 14 percent of Mandarin Chinese-speaking buyers who purchased homes in the U.S. paid all cash, but that has risen to 46 percent of all-cash Mandarin Chinese-speaking buyers in 2015. Overall, all-cash buyers of U.S. homes increased 65 percent, from a 20 percent share in 2005 to a 33 percent share by May 2015. And while overall cash buyers are starting to play a larger role in the housing market, this is especially true for the Mandarin Chinese-speaking buyers who are likely to be foreign nationals. The study says that the increase in all-cash Mandarin-Chinese buyers has likely helped boost U.S. home price appreciation, since they are less financially constrained than many local buyers.

“ CASH BUYERS ACROSS THE BOARD ARE PLAYING A MUCH BIGGER ROLE IN THE HOUSING MARKET NOW THAN THEY WERE 10 YEARS AGO, AND THAT IS PARTICULARLY TRUE FOR MANDARIN CHINESE-SPEAKING CASH BUYERS.”

—Daren Blomquist, vice president at RealtyTrac

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The Council of Residential Specialists

crs.com

Jan Feb

REALTORS® PLUS TECH

[short list]

DREAM A

little dream

The National Association of REALTORS® 2015 National Housing Pulse Survey found that 8 in 10 Americans believe purchasing a home is a good financial decision, and 68 percent believe now is a good time to purchase a home. Seventyone percent said they feel they could sell their house for what they paid for it, a 16 percent increase from 2013. The top three reasons respondents gave for why homeownership matters to them has not changed. Building equity, wanting stability and a safe environment, and being free to choose their neighborhood are still the top reasons to own a home. The number of renters thinking about purchasing a home has increased to 39 percent, while 61 percent of renters say owning a home is a priority for their future. Eighty-six percent of millennials under 35 say student loan debt is their main obstacle to owning a home. “Homeownership is part of the American Dream, and this survey proves that dream is alive and thriving in our communities,” said NAR President Chris Polychron. “REALTORS® believe that anyone who is able to assume the responsibilities of owning a home should have the opportunity to pursue that dream.”

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Technology has made a huge impact on the way people buy, sell and research homes, but a growing number of consumers rely on professional REALTORS® to help them with their transaction. The National Association of REALTORS’® Real Estate in a Digital Age report finds that 88 percent of buyers in 2014 purchased their home working with a real estate agent, up from 83 percent in 2010. Consumers report that finding the right property is the most difficult step in the home-buying process, and 4 in 10 buyers looked for properties online at the beginning of the search process. There are generational differences in consumer behavior: 94 percent of millennials looked for homes online last year, compared to 84 percent of baby boomers and 65 percent of the “Silent Generation.” Nearly half of all homebuyers (43 percent) first found the home they ended up purchasing online, up from just 8 percent in 2001. “Consumers have the ability to do more home-buying research online and be more connected during the home search process than ever before, but research proves they are still seeing the value a REALTOR® brings to the transaction, from the initial search to well after the closing,” said NAR President Chris Polychron, executive broker with 1st Choice Realty in Hot Springs, Arkansas. “REALTORS® bring great value to buyers from every generation, demographic and location as well as in every financial and familial situation. So while consumers have more technological tools available at their fingertips, REALTORS® are now more than ever a part of the home-buying and selling equation.”

TAX MATTERS The Tax Foundation, a non-partisan, non-profit research organization, recently compiled data reflecting the effective tax rates on owner-occupied homes in all 50 U.S. states. New Jersey residents pay the most, with a 2.38 percent effective tax rate, compared to the lowest rate, enjoyed by property owners in Hawaii, of 0.28 percent.

N O I T C I F R O T C A F radon Ø

Radon awareness and education should be at the top of every homeowner’s safety list. Radon is a colorless, odorless and tasteless radioactive gas that can cause lung cancer. Fortunately, there are ways to test for and mitigate its effect in the home.

If you’re buying a home, both the U.S. EPA and Health Canada recommend you have a radon inspection along with your home inspection. Homeowners who are planning to sell their home can also show potential buyers proof of a radon inspection to ensure their home is protected.

TRUTH

MYTH

Every home should be tested every two years — even those with a previously installed mitigation system. The conditions in the soil are influenced by numerous variables and they can change over time.

You don’t have to test a home that already has a mitigation system.

A new home does not need to be tested.

TRUTH

MYTH

A home that has been tested for radon in the last two years is the only type of home that does not need to be tested.

TRUTH

MYTH

Occupants of a home that is built on a slab or crawl space actually spend more time in closer proximity to the soil from which the gas originates than homes with a basement. The lowest livable area of such homes is the first floor, which is used far more frequently than basements.

You don’t have to test a home that does not have a basement.

TRUTH

MYTH

Condominiums or homes with an unfinished basement do not need to be tested.

The specification and recommendations regarding testing say nothing about the type of home or how you plan to utilize different areas of the home. The recommendation is to test in the lowest livable area of the home. In fact, Pillar To Post professionals have performed numerous inspections on high-rise condos that had elevated radon levels.

A simple radon test will give you peace of mind about the safety of your home and ensure that your family is protected. For more information, please visit pillartopost.com.

Top 10 Lowest Effective Property Tax Rates

2.5%

2.0%

1. 6

1. 71

1. 78

1. 8

0% 1. 9

2.0%

1. 9

.3 2

2.5%

Top 10 Highest Effective Property Tax Rates

1.5%

1.0%

0.5%

.2 0

3 .4 0

0.5%

1 .5 0

5 .5 0

7 .5 0 % 7 .5 0 % 9 .5 0 % 1 .6 0 % 1

.6 0

3 .7 0

1.5%

0.0%

0.0% NJ

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The Council of Residential Specialists

crs.com

Jan Feb

[short list]

+ industry headlines + statistics + trends

DEPLETED inventory Ø

The metro areas with the largest disparity of jobs versus new construction (inadequate supply) are San Jose, California San Francisco San Diego New York Miami

Jan Feb

A study conducted by the National Association of REALTORS® reveals that although metro areas are seeing positive job growth, they continue to face a shortage in housing. The study measured the volume of new home construction compared to the amount of newly employed workers across 146 U.S. metro areas over a threeyear period. The results show that homebuilding activity for all housing types is behind in roughly two-thirds of the 146 metro areas studied. In the past, the average ratio for the annual change in total workers to total homebuilding permits was 1.6 for single-family homes. The study found that through 2014, 72 percent had a ratio above 1.6, which indicates inadequate new construction. The report also finds that the homebuilding industry continues to face challenges such as

The Residential Specialist trsmag.com

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rising construction and labor costs, limited credit availability for smaller builders and concerns about the re-emergence of first-time buyers. The lack of homes available is creating more competition among a growing number of buyers and continues to drive home prices up, especially in major metro areas. “In addition to slow housing turnover and the diminishing supply of distressed properties, lagging new home construction — especially single family — has kept available inventory far below balanced levels,” says NAR chief economist Lawrence Yun. “Our research shows that even as the labor market began to strengthen, homebuilding failed to keep up and is now contributing to the stronger price appreciation and eroding affordability currently seen throughout the U.S.”

Metro areas with adequate home supplyjob ratios are: Jackson, Mississippi Colorado Springs, Colorado Chattanooga, Tennessee Amarillo, Texas St. Louis

fitness

[cool stuff]

TO A ‘T’

acquisitions on a theme

GO TO THE MAT

The SmartMat yoga mat is like having your own personal yoga trainer in your home. Upon first use, SmartMat takes you through a series of movements to calibrate your body shape, size and limitations. SmartMat uses special sensors to detect when you are out of $ 297 prealignment or balance during sessions, and advises you on how to order; $497 correct your pose. SmartMat also connects to Apple and Android regular smart devices with the SmartMat app to store your personal profile. You can charge SmartMat via USB, and the battery lasts for six hours. SmartMat does not require an Internet connection and rolls like a regular yoga mat, so you can take it anywhere. smartmat.com

Self-improvement is a common resolution made at the turn of the new year, yet it can be hard to fit your health into a busy schedule. But a growing number of personal fitness and health products provide feedback and keep records of your progress, making anything from quitting smoking to mastering your workout routine a lot easier.

CHARGE IT TO YOUR HEART

The FitBit Charge wearable activity tracker is made for everyday fitness. The Charge tracks your daily activity — steps taken, distance, calories burned, floors climbed and active minutes — and these stats and the time of day are viewable on the OLED display. You can also use the Charge to monitor your sleep and set a silent alarm, as well as sync it wirelessly with your Apple or Android smartphone to display caller ID. The FitBit app allows you to view more in-depth fitness and sleep stats, log your workouts and meals, estimate calories and more. The Charge’s battery lasts seven to 10 days and can be charged via USB. The FitBit Charge comes in black, slate, blue and burgundy, and you can buy extra bands separately. fitbit.com/charge

WINNERS DO QUIT

SLEEP WATCHER

quitbitlighter.com

sleep.mysplus.com

Trying to quit or cut back on smoking? QuitBit can The S+ by ResMed is a sleep tracker that you help. This specialty lighter lights your cigarettes don’t have to wear. Set the S+ near your bed, with a powerful heating coil instead of gas, and and it will monitor the conditions in your room, tracks each time you have a cigarette, providing such as light, noise and temperature; each of real-time feedback on its display. QuitBt syncs the four stages of your sleep throughout the with your Apple or Android smart device via Bluenight; and whenever your sleep is interrupted. tooth, so if you lose your lighter, QuitBit can notify You can also use the S+ to audibly record tomoryou if the Bluetooth connection is lost. The QuitBit row’s to-do list or whatever is on your mind that app allows you to view your smoking trends, such is keeping you awake. The S+ can work as an as what time of day you smoke the most or how alarm, and will wake you from light sleep during many minutes have elapsed between cigarettes. $ 99 the timeframe you set. By syncing 129. The app also shows you how much money you with your Apple or Android smart save by not smoking, and allows you device and using the S+ app, you can to set goals for cutting back view personalized sleep reports that and sharing your progress compare your sleep against an with your friends, family or ideal night’s sleep for $ 99 the QuitBit community. your age and gender.

£ 119.99 (roughly $ 180)

SWIMMER’S EARBUDS

The Duo from Finis was designed for swimmers — this MP3 player is waterproof $ 119.99 and doesn’t require headphones. Instead, Duo delivers crisp sound through bone conduction audio transmission. The Duo’s clip design attaches to goggle straps and rests comfortably on your cheekbones, where the audio then travels to your inner ear. According to the company, the sound is actually clearest while submerged. The Duo has 4GB of storage and can support MP3 and WMA audio formats, so you can listen to music, podcasts, audiobooks and more. The Duo also has a rechargeable battery that lasts up to seven hours, and a magnetic USB dock for uploading and charging the device. finisinc.com/Duo

YOUR MORNING/EVENING JACKET

If you are a bike commuter or just like to ride, the Visijax commuter jacket keeps you safe through visibility. The jacket is embedded with incredibly bright, washable LED lights — white in front, red in back — that can be seen from over 400 yards away and have three modes: slow, fast and constant. The sleeves of the jacket have motion-controlled, amber-colored lights that resemble a car’s turn signal — just stick your arm out like you usually would to signal a turn, and the lights will automatically flash for a few seconds to alert those around you. The jacket is waterproof and breathable, and includes a detachable USB battery that powers the jacket lights for over 20 hours. The lights on the jacket will flash rapidly when the battery is low, and all lights can be controlled with a power switch. The commuter jacket comes in black or high-visibility yellow. visijax.com

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129.95

[smart

solutions]

streamlining your business through technology

cloudy

FORECAST Cloud computing is transforming the way REALTORS® do their jobs, making everything from managing and accessing files to writing contracts easier and more efficient than ever.

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By Daniel Rome Levine

As a certified CRS instructor who teaches REALTORS® about cloud computing, Mark Porter found himself in a real-life example of just how helpful it can be to have critical documents stored in the cloud. Porter was on a class break when his smartphone started lighting up with frantic emails from a colleague in his real estate office who was at a closing and couldn’t locate a plat of survey needed to complete a transaction. Without missing a beat, Porter simply tapped an app on his smartphone called Dropbox, giving him access to a popular cloud storage and file-sharing program where he kept all his work-related files and documents. Because Dropbox allows users to access files and documents from any computer or device, Porter found the survey in seconds and forwarded it to his colleague and the others at the closing table. The deal closed successfully and Porter’s tech-savvy move was roundly praised by the participants. “I was a hero,” he says with a smile. It is precisely this type of flexibility and access anytime, anywhere to files and documents that makes

the cloud such a powerful tool for REALTORS®, says Porter, CRS, the owner of Castle Hills Real Estate, in Lewisville, Texas. “It’s all upside,” he says. “Having all my data and documents at my fingertips whenever I need them is a huge advantage.”

The Silver Lining

Cloud-based storage and file-sharing services such as Dropbox, Google Drive and Microsoft’s One Drive are powerful tools REALTORS® can use to increase efficiency and speed transactions. Dropbox is Porter’s favorite because he believes it is the easiest to use and most forgiving for first-timers. Any document or file that is saved to Dropbox or any of the other services is automatically stored in the cloud as well as on the computer’s hard drive. That provides Porter peace of mind because he knows there are always two copies available at any time. “If somebody steals my computer, I can just go to another one and go to the Dropbox site, and everything I need is right there,” says Porter. The ability to edit documents, such as marketing materials, flyers, contacts and calendar items, and have those changes automatically

to Microsoft’s Office 365 Professional software program.

KNOW YOUR NIMBUS

What is the cloud? Simply put, cloud computing refers to using the Internet to store data in a remote location instead of having it only on your computer’s hard drive. This means that as long as you have an online connection, you can access your files and documents from anywhere or from any computer or hand-held device. Mark Porter, CRS, with Castle Hills Real Estate, in the Dallas suburb of Lewisville, puts it in terms most REALTORS® can understand. “Real estate agents have been using a form of the cloud for years and not realizing it,” he says. “It’s called MLS. The data is not here in your office. It’s on a computer somewhere else and we’re all sharing it.” updated so anyone can see them from any computer or device is especially helpful, says Porter. “This capability to automatically synchronize changes is so cool,” he says. “Whenever my office administrator makes a change to a sales contract, I can see that edit, and whenever I make a change, she can see it no matter where we are or what machine or device we are using to view it.” Michael Perry, CRS, a broker with Weichert, Realtors Graham-Welch, LLC, in Overland Park, Kansas, has been storing all his records in the cloud for three years and can’t imagine having it any other way.

GADGET INSPECTOR

Working on separate computers at his home office and broker’s office, as well as on a laptop while shuttling between two new home subdivisions, Perry uses the cloud to tie together all these computers so he can easily find updated content on any of them. “It’s just so simple and easy to manage everything,” he says. “It’s like having a hard drive in the sky that can be accessed from anywhere and on any machine or device.” Perry switched from Dropbox to Microsoft’s cloud storage offering, OneDrive, in early 2015 because it was included for free as part of an upgrade he made

Sign of the Times

Another advantage to working in the cloud, says Perry, is the ability to speed up transactions by using electronic signatures. Perry uses a cloud-based program called Dotloop (which was acquired by Zillow in 2015), which allows documents to be shared, signed and revised in real time by all parties involved in a deal. He also recommends a similar program called DocuSign. With advances in Internet-based data storage transforming the way real estate agents go about their jobs, there’s no doubt that more and more are going to be doing business with their heads in the cloud. Daniel Rome Levine is a writer based in Wilmette, Illinois. Learn more about cloud computing from a recording of the free members-only webinar Reach for the Cloud! 7 Simple Steps to Move Your Business to the Cloud, available at crs.com/education/courses/ recording-reach-cloud-7-simple-stepsmove-your-business-cloud.

Cloud EDITION

ZIPFORM LETS YOU EDIT CONTRACTS FROM ANYWHERE

DROPBOX STORES FILES YOU CAN SHARE This cloud storage and file sharing service enables you to keep documents and files in a special folder on your computer’s hard drive that can be accessed from any other computer or device. Any changes made to a file or document in the folder are automatically updated and synchronized on all computers or devices. For more information, visit Dropbox (dropbox.com). 2 GB of storage is free. Upgrading to 1 TB of storage is $9.99 per month or $ 99 per year.

ONENOTE TRACKS REMINDERS AND TO-DO LISTS Microsoft’s digital-note-taking application makes it easy to keep track of important work reminders and to-do lists. Best of all, whatever you type automatically synchronizes and updates to all your devices and can be shared with other OneNote users. For more information, visit OneNote (onenote.com). Free.

This contract-writing software is specifically tailored for real estate professionals and allows you to access and edit updated contract documents or related information from any computer or mobile device. It’s just one of a range of helpful cloud-based software tools offered by ZipLogix, some of which are offered as a free member benefit to REALTORS® via an agreement with the National Association of REALTORS®. For more information, visit ZipLogix (ziplogix.com). Read more at realtor.org/ articles/nar-announces-newinitiative-with-ziplogix.

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crs.com

Jan Feb

[inside track]

what’s trending in real estate

FIRST NATIONAL BANK OF

your house REALTORS® can provide a valuable service to seniors considering a reverse mortgage. By Cheryl Winokur Munk

Some REALTORS® are warming up to the idea that reverse mortgages can be a lifeline for select elderly clients and are trying to help them better understand their options. Reverse mortgages provide supplemental income to seniors age 62 and older based on the value of their homes. The loan allows homeowners to access a portion of their home equity as cash. In a reverse mortgage, interest is added to the loan balance each month, and the balance grows. Borrowers don’t need to repay the loan until they sell the property, move or die, but they must continue to pay property taxes and homeowners insurance.

The most common type of reverse mortgage available today is a Home Equity Conversion Mortgage (HECM). This type of reverse mortgage is federally insured and overseen by the U.S. Department of Housing and Urban Development (HUD), affording borrowers greater protections than they had in the past. With an HECM, no matter how large the loan balance, borrowers or their heirs never have to pay more than the appraised value of the home or the sale price. If the loan balance does exceed the home’s appraised value, the federal government absorbs that loss and it doesn’t affect other assets of the property owner. “There are several good reasons to consider a reverse mortgage, assuming you qualify,” says Peter Bell, president and chief executive of The National Reverse Mortgage Lenders

three ways to shift into reverse Home Equity Conversion Mortgages (HECMs) The most common type of reverse mortgage available today, these loans are backed by the U.S. Department of Housing and Urban Development (HUD) and can be used for any purpose.

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Proprietary reverse mortgages

Private loans that are insured by the mortgage companies offering them. They are not subject to all the same regulations as HECMs, but most companies have adopted similar consumer protections.

Single-purpose reverse mortgages

The least expensive option, these are offered by state and local government agencies, as well as non-profit organizations. These loans may be used for only one purpose, which the lender specifies, such as home improvements or taxes.

Association, an industry trade group. “All REALTORS® should go out For example, sellers whose homes need of their way to educate themsignificant work may benefit from a reverse selves about reverse mortgages. mortgage to pay for pre-sale repairs, he says. There is so much misinformaAlternatively, a senior might want to use the tion about them,” says Andrew proceeds from a reverse mortgage to buy a Norton, CRS, an associate Greater protections for nonborrowing spouses vacation home. A third option that was introbroker with RE/MAX Executives duced by HUD in 2008, but is still not yet The U.S. Department of Housing and Urban Develin Fairfax, Virginia. He took a widely known, allows seniors to buy a new class with a reputable mortgage opment and the Federal Housing Administration principal residence using loan proceeds from loan officer several years ago have recently announced changes that make it a reverse mortgage. and describes it as an eye-openeasier for surviving spouses who weren’t on the Many seniors may not know how a reverse ing experience. After he met original loan to assume ownership and continue on mortgage can help them, which is where the age requirement and went as the borrower did. There are several stipulations informed REALTORS® can add value. “I through the required counselthough, so reading the fine print is essential. would definitely bring up the option in cases ing, he decided to take a reverse where it seems like it might solve a problem Age of borrowers mortgage on his own home. for people,” says Judy Barrett, CRS, a solo When he comes across a cusHUD now allows qualified borrowers to obtain broker in Kailua, Hawaii. tomer he thinks might benefit a reverse mortgage even if their non-borrowing She recently worked with a couple moving from a reverse mortgage, he tests spouse is younger than age 62, with the caveat from a townhouse to a single-family home. The the waters. If the senior seems that the loan’s principal amount will be actuarially couple took out a bridge loan to allow them to receptive, he explains more about based on the age of the younger spouse. purchase the new property before selling the the program. From there, he townhouse. When it sold, they replaced the refers the customer to a mortTightened lending criteria bridge loan with a reverse mortgage on the gage loan officer and encourages A new HUD rule from April 2015 states that lenders new property. They now have a home with the senior to meet with a finanmust now make a “financial assessment” to no monthly loan payments and a credit line cial adviser. HUD also requires determine whether would-be borrowers have enough similar to a home equity line of credit. would-be borrowers to meet with income to keep up with property taxes and homeA REALTOR® can help seniors contemplate a specially trained counselor on owners insurance so they don’t default on the loan. whether a reverse mortgage might be a viable its approved list — another safeoption by asking a few basic questions. These guard that’s been implemented. questions include their age, how long they are planning to live in their home and whether they can afford their living expenses, Coming Up Short While reverse mortgages are considered safer than they were property taxes and insurance. Depending on a would-be several years ago because of enhanced government protecborrower’s age and situation, there may be better alternatives. tions, some REALTORS® are reticent to recommend them. Overcoming Historical Bias Joan Hart, CRS, a broker associate with RE/MAX Partners in Over the years, reverse mortgages have gotten a bad rap. Steamboat Springs, Colorado, is the listing broker on a home There have been numerous reports of seniors not underin a short-sale situation as a result of a reverse mortgage. standing what they were getting into and eventually losing She’s been doing a lot of work and is incurring significant their homes to foreclosure. Nowadays, however, there are out-of-pocket expenses to get the house ready for sale. The many more protections and more REALTORS® are recognizwife died, the husband moved to assisted-living and the ing the potential upside for certain clients. children have basically abandoned ship, and the government Reverse mortgages are likely to continue gaining ground is eating the costs. “It’s been an experience,” she says. as more baby boomers reach the minimum age and many of Of course, not all reverse mortgages have such unforthese seniors have large amounts of equity tied up in their tunate endings. “Every homeowner’s circumstances are homes. Seniors took out 53,372 federally insured reverse different and it’s important that people seek knowledgeable mortgages between Oct. 1, 2014, and Sept. 30, 2015, accordadvice,” says Bell, the Learn how to secure your ing to HUD data. To be sure, the number of these loans has industry trade group financial future by taking dropped precipitously since the Great Recession. In fiscal president. the CRS Course, Buying and Selling Income Properties. year 2009, for instance, there were 114,692 federally insured Register at crs.com/ reverse mortgages. But recent data suggests a turnaround; Cheryl Winokur Munk is a education/courses/ buying-and-selling-incomeThe number of HECMs increased by 1,730 between fiscal freelance writer based in properties-crs-204. 2014 and fiscal 2015. West Orange, New Jersey.

RECENT REGULATORY DEVELOPMENTS

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The Council of Residential Specialists

crs.com

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[window of opportunity]

strategies to grow your business

get out

OF TOWN By Megan Kramer

Mary Biathrow, CRS, with Berkshire Hathaway Home Services in Raleigh, North Carolina, knew the value of networking through CRS classes and events even before she received her designation. “I was a new agent, about six months in the business, and the only one in the office the morning after Christmas,” Biathrow recalls. She says the phone rang, and it was a CRS agent who was looking for another CRS for a referral. Biathrow provided her the names of CRS agents in the office and chatted with her, when the agent asked if she wanted the referral. “I told her I would love it, but I wasn’t a CRS yet. She said I sounded like I knew what I was doing and gave it to me anyway. That was in 1992 — I’m still making transactions based on that referral to this day.” Four years later, after Biathrow had received her CRS Designation and was attending a national conference, she met the agent from the phone call. “She sat down next

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Traveling to CRS classes and events can lead to a lifetime of referrals. to me totally at random in a large auditorium. We exchanged cards and I told her, ‘I have your card in my desk.’ That taught me the value of making those connections.” Biathrow has since been to more events and taken more classes than she can count, citing herself as an education junkie and stressing networking at every turn. “The biggest benefits are threefold: learning from other agents, referrals from other agents and personal relationships with other agents. I met people I would never have met in my own market. The cream-of-thecrop of agents go to these events, and they are so willing to share.”

The Benefits of Travel

But attending CRS classes or events is only part of the equation, says Alex Vastardis, CRS, with Coldwell Banker Real Estate in Orlando, Florida. “Traveling is the most important thing. You get out of your comfort zone and the day-to-day operations of business and life. Then you can focus more on the event and find people to build relationships.”

And when handled with care and diligence, says Mark Minchew, CRS, with RE/MAX in Austin, Texas, these relationships can lead to successful referrals. Forty-one percent of Minchew’s business comes from referrals, and he says going to outof-state CRS events and classes has contributed to his success. “The THEY SAID IT

CRSs share some of the best advice they’ve received at classes/events:

referral base over the years has been phenomenal. When I go to conferences, I network with people who will likely have buyers coming to Austin. If you go with the goal of learning and making contacts, it builds your business for years.” Biathrow also believes that travel adds to her referral base, and advises any CRS agents to take advantage of the opportunity. “Go to a place from where people tend to transfer to your area,” she says. “Taking classes in your hometown doesn’t seem like it would have as many benefits. Plus, agents from other areas would be more willing to share and would be candid about things they did that were successful, because you’re not their competition.” Sandra Nickel, CRS

There are two mantras that have meant the most to me. One was from the late Howard Brinton, CRS President in 1984: “Get out of judgment and get into curiosity.” This means when you hear a speaker or instructor talk about a new way to do things, don’t think, “That won’t work for my market.” Instead think, “How can I make that work for my market?” The second was from Dave Beeson, CRS Senior Instructor Emeritus: “Everything works; nothing doesn’t.” The wonderful thing about real estate is that there is more than one way to be successful. Keep trying and find the ones that are the best fit for you.

Alex Vastardis, CRS

It’s hard to pinpoint one thing. I try to get something out of each class, then find what works for my business at that time.

Preparing Wisely

While the benefits of attending outof-town classes and events outweigh the costs, it is still important to remember that traveling dips into your time and other resources, so proper preparation is a must. “It costs you something to go on these trips, so if you’re not planning your business strategy when you go, you’re wasting money,” Minchew says. “Take an adequate supply of business cards and hand out as many as you can, but collect even more. Then follow up,” he adds. Sandra Nickel, CRS, of Sandra Nickel Hat Team in Montgomery, Alabama, recommends developing a memorable introduction for yourself. “Almost all of the classes have introductions, so instead of something basic, I say, ‘I’m Sandra Nickel from affordable Montgomery, Alabama, where investment properties work.’ Then anyone looking for that location or type of referral knows to come to me.” Nickel also advises that anyone going to a class or event should go alone. “Don’t fall into the trap of Mark Minchew, CRS

taking a buddy, hanging out with a buddy, eating with a buddy … Go alone and force yourself to reach out to strangers. I know it’s not easy — believe me, I’m an introvert — but I’m also a salesperson, so I get out there and make connections, and I’m more likely to do that by myself.”

Enjoy Yourself

These CRSs put special emphasis on learning and producing business while at CRS courses and events, but that does not mean they are all work and no play. Traveling out of town can take you to many places where you have never been: Taking time to see the sights with agents you meet in class can strengthen your relationships even more. “Plan extra time in the event location before or after the event to enjoy the area and the sights,” Biathrow says. “Often, CRS agents do the sightseeing together, and it’s something I have enjoyed. I can’t say enough about the friendships I’ve made going to CRS conferences and classes.” “You get to see some beautiful places, so you can tack on a day or two,” agrees Minchew. In fact, Minchew recently attended an

The referral base over the years has been phenomenal … If you go with the goal of Mary Biathrow, CRS learning and making contacts, it builds your business for years. I learned about new markets, which is helpful because we do have clients who come from these different places. And learning what succeeds in different markets has also been very helpful.

event in San Diego and said he was leaving three days early to enjoy the sights. He also took advantage of CRS courses sponsored at the event. “Stay in a constant state of learning,” Minchew says. “If you’re not learning, you’re going backwards.” Megan Kramer is a freelance writer in Chicago. Learn more about where and when you can find CRS courses and register at crs.com/ education.

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The Council of Residential Specialists

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Coldwell Banker Vanguard, Fleming Island, Florida

KIM KNAPP, CRS

[peer to peer]

profiles of people to watch

Did you find the tools you were looking for? Definitely. I look at life this way: You can be good or you can be great. If I wanted to compete, being good was not enough. I needed to learn better ways to service listings and stay connected to my SOI and past customers. It’s like going into a restaurant and ordering a meal — if the food was great but the service was only so-so, you won’t remember it as a great experience. I’ve always maintained that there is a better way to do everything, and I am always competing with myself. If you keep an open mind and listen to others, you learn things you can apply in any area of life, not only to one situation.

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What is it about your market that keeps your team hopping? I have really found my wheelhouse — the people who I can connect with. I identify with the people and families who live in Fleming Island. This area attracts a lot of families; the people who live here are passionate about their neighborhood and schools. I always say they could never have elementary intermural sports in this town because the parents are so fierce about their school being the best! We also have a naval air station nearby, so there is some regular turnover with families of the support staff and officers moving in and out. We help people relocate to the area and sell when it’s time for something new. Sometimes we are hired to manage properties for those who leave for a short while but plan to come back. What is really telling about the area is the number of people who choose to stay, whether moving up or downsizing.

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How does your educational work fit into your schedule? Education is a passion really. Because my team is such a well-oiled machine, it enables me the freedom to teach and travel. I am excited to be doing two sessions at the next Sell-a-bration®. I just completed my first CRS webinar about using social media. I have done a lot of independent workshops and training for large brokers and brands across the country. Being successful and happy in this industry allows me to be relevant in a time when solid training has never been more important. There is so much mediocrity. The DANGER report [an analysis of negative game changers emerging in real estate] called it out: We need to make it a first priority to be better — I want to equip folks with something they can use right away. If a technique that someone else is using is working, learn it and then make it your own. You don’t have to re-invent the wheel. Of all the topics that you touch on, what do you feel is most valuable? The most important things are, first, being a power listing agent, creating fans out of customers, and next, determining the effective role for social media in your business — because not everybody should do it.

Really? Who shouldn’t be using social media? If you’re not one who is outgoing and introducing yourself to everyone at a cocktail party, then social media may not be for you. Social media is really like going out in public — you have to interact with people, be genuine and offer something that is relevant! I find that the people who are resistant to the idea of using social media are the people who don’t want to put their “business” out in the blogosphere. They don’t realize that the appropriate way to have a social media presence is to not always talk about yourself! What if a dentist was always posting things like, “I did two root canals today and a mouthful of crowns,” which is the equivalent of posting how much business you’ve closed, or you’re at an open house or an inspection. Instead, I tell people to do something like give a shout-out to Rick, who’s a contractor we can count on. In my classes, I share an anecdote about a writer who wrote about being seated next

to Princess Diana at a dinner. The writer was worried that she wouldn’t be able to come up with interesting conversation for someone who had been around the world and so on, but instead, Diana asked her about her life and her grandkids. By the end of the night, the writer said, “I felt like the princess!” The point is that if you take an interest in other people, they’ll do it in return. But you absolutely have to be genuine because when people meet you, they will know whether your online and in-person personas match up. What should REALTORS® focus on? You have to be engaged. I remind people of the saying, “If you think education is expensive, try ignorance.” You have to be open to learning how to improve your game. If no one pushed forward with new ideas and techniques, we’d still be riding horses! There are always ways to improve on something. If you could improve your business by 1 percent every week, you could easily improve your business by 50 percent in a year.

Kim Knapp achieved her CRS Designation in 2009. She can be reached at 904.637.0285 or at kim@teamknapp.com.

Photo: Ryan Ketterman

Why did you become a CRS? I experienced quick success in the business by working hard and did $6 million in the first year. Early on I realized the main focus of real estate school is how not to go to jail. Everything was trial and error, baptism by fire, so to speak. It was working well enough for the early years, but when the market turned, I knew I needed better tools. That’s when I became a CRS. Now, I have been in the business for 14 years.

Tell me a bit about your office. I have a team closing coordinator who has been with me for 11 years. I have a marketing director and a licensed assistant along with two licensed agents. I love and appreciate them. Our culture is very important. We are closing in on almost half a billion dollars in total sales.

Kim Knapp, CRS, enjoys making videos and creating presentations to help real estate agents aim for a higher level of business success.

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The Council of Residential Specialists

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counsel

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Despite its remote location, Anchorage, Alaska, has made a name for itself as a hub of the world economy. Its relative proximity by air to both the U.S. and Asia has made it a key refueling stop for international flights and a hub for international shipping. It’s also home to approximately 40 percent of the state’s population, which supports a robust residential real estate market. ➜

2016 CRS President Janelle Pfleiger is well positioned to lead the Council in a new direction. Interview by Mike Fenner Photographs by Jeff Schultz

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council counsel

[feature]

Janelle Pfleiger, CRS, has served that Anchorage market for more than 35 years, helping residents buy and sell homes. She has been a REALTOR® her entire professional life and a CRS since 1989, which gives her a unique perspective on the industry. The Residential Specialist caught up with Pfleiger shortly after she was installed as the 2016 CRS president to discuss her background, her lifelong commitment to the real estate industry and the possibilities that lie ahead for the Council and its members.

and helping people achieve a goal of making what amounts for most people to be the largest financial decision of their lives. The fact that the industry and the buyers and sellers we serve are ever-changing is also attractive to me. I love helping someone with their first purchase just as much as helping a family downsize and retire. We serve consumers through their entire life cycle, and that’s very rewarding.

What was your background before you got into the real estate business?

I earned my CRS Designation fairly early in my career (1989), and obtaining it truly changed my professional and personal life. I was amazed at the level and quality of the instruction, and the energy and the possibilities this education afforded me in my career. I am a true example of what can happen with your career after obtaining the CRS Designation. My production doubled, I learned to operate as a successful business and I saw how important it is for us to work to increase the level of professionalism in our industry.

I am one of those rare birds in our industry in that I have a bachelor’s degree with a minor in real estate and I have sold real estate in Anchorage since the day I graduated from college. I started my career in 1979 but still feel I am learning and growing every day. I grew up all over the Southwest: Colorado, New Mexico, Kansas and Texas. I came up to Alaska one summer during college and kept coming back. Of course, I thought it was just a short adventure at first, but now after 40 years, I’ve raised three great kids, I have a great life partner and a long-established career, so obviously I still enjoy the lifestyle. As a young businesswoman starting out, there was a lot of opportunity and a kind of “no doors closed” attitude in the last frontier.

VITAL STATISTICS

Janelle Pfleiger, CRS

Broker Associate, RE/MAX Dynamic Properties, Anchorage, Alaska ÄÄ CRS Since: 1989 ÄÄ REALTOR® Since: 1979 ÄÄ CRS Leadership: Alaska CRS President in 2005 and 2007; served on several National CRS committees; held a long term Regional Vice President position with three different regions; and held a position on the Board of Directors.

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What attracted you to real estate as a profession?

During my years in college, I explored different areas of emphasis, but I was continually drawn to the real estate discipline. Both of my grandparents were farmers, keepers of the land and leaders in their communities and counties, so I was always attracted to “the land.” I did not view the industry as a sales career, but a career where I could be involved in three areas: finance and structuring a deal, being an entrepreneur

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How did your training as a CRS help you build a successful career?

When did you start getting involved as a volunteer leader for the Council? Why?

This is my life’s work and it is important to me to give back to the industry. I was involved in our Alaska Chapter after obtaining my Designation in 1989, but I really began this journey in earnest in 2003. Since then I have served as the Alaska CRS President in 2005 and 2007, served on several National CRS committees, held a longterm Regional Vice President position with three different regions and held a position on the Board of Directors. This journey taught me that these volunteers are true professionals in our industry and an outstanding group to network with, learn from and grow with.

What have your years in leadership taught you, and what insight have you gained about how CRSs do their day-to-day jobs? I’ve grown up in this organization. I have learned to be a leader both in our industry, in my community and in my personal life.

council counsel

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a look into the crystal snowball What will be the trends and challenges for REALTORS® in the coming year? Janelle Pfleiger has some ideas…

I credit CRS for being the catalyst and support mechanism for that growth. I quickly came to understand that networking and developing relationships with fellow CRS members was going to be extremely valuable. These are very rewarding connections to cultivate, both professionally and personally. Over the years, I have been able to work with other volunteer leaders and have learned valuable leadership skills and a passion and tenacity for making CRS the best organization it can be. Having the opportunity to work with the staff of CRS over the years also has been invaluable. The dedication and talent of the staff is tremendous — they live and breathe our mission each and every day. I am amazed at our colleagues’ willingness to share best practices with others throughout the country (and beyond), our opportunities to brainstorm with the true masters in our industry and the mentoring of new CRS members.

How has the Council changed over the last few years, and what initiatives is it taking to build a strong foundation for the future?

The Council has changed in some areas and in other areas remained steadfast. I believe the Council remains well-respected in the industry for educating and retaining top-notch professionals in our industry. The Council has adjusted to a changing landscape and an aging REALTOR® population. Under strong volunteer and staff leadership, the Council has undertaken initiatives to restructure the membership model in order to better engage members and provide additional member benefits. It is vital that we reach and bring value to every one of the more than 31,000 members in our organization. We

How we interact and communicate with the consumer will continue to be paramount in the next year. CRS Designees must compete based on technology skills, market knowledge, exemplary service and keen negotiating skills. This is not a new concept by any means, but “demonstrating how you make a difference” in comparison to your competitors will continue to be a challenge in every market. The consumer is knowledgeable and has very clear expectations for effective, efficient, competent service.

continue to work on initiatives that enable us to be more nimble in bringing timely, relevant education and benefits to our members.

What advice would you give to our new CRS members on how to get the most out of the organization?

“ I ve grown up in this organization. I have learned to be a leader both in our industry, in my community and in my personal life. I credit CRS for being the catalyst and support mechanism for that growth.”

Engage, get involved and ask, ask, ask! There are so many great producers, mentors and peers to network with and learn from in this organization. You can interact with the CRS community at so many levels, especially now with the advent of the State CRS Communities. Take webinars and courses, and get involved in your State CRS Community. Sell-a-bration® gives agents an annual opportunity to build their referral business and their professional and personal networks. This helps CRSs establish their path for success for the life of their career.

What does the CRS Designation mean to you?

The CRS still stands as the premier residential designation in our industry, truly the gold standard for education, professionalism, production and experience. The designation for me personally represents a high level of commitment to a life of learning, high proficiency and top-notch professionalism. My involvement with CRS is the pinnacle of my professional career and leadership journey.

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The Council of Residential Specialists

Learn how to get involved in CRS leadership at crs.com/ about-us/ leadership.

crs.com

Jan Feb

PARTNER A thoroughly planned partnership venture can bring satisfying results for all parties. By Regina Ludes

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practice

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When Sherie Broekema, CRS, attempted her first professional partnership arrangement shortly after moving to Arizona early in her career, the results were disastrous. “I had referred all my business to someone I liked, but they never followed up with my clients,” Broekema recalls. “I made a huge error in judgment. I did not choose someone who was competent.” The veteran broker is enjoying better success today after husband-and-wife partners Tom and Janie Ebenhack joined her team in 2012. The couple, whom she met while working at the same brokerage, now handles residential sales for her buyers and sellers while she focuses on the senior market. “I don’t have to worry about my clients because I know Tom is taking care of them,” says Broekema, who is with Long Realty Company in Tucson, Arizona.

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The Council of Residential Specialists

crs.com

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[feature]

perfect practice

“ WITHOUT A WRITTEN AGREEMENT, THE TERMS OF THE PARTNERSHIP MAY NOT BE ENFORCEABLE.”

Some agents form partnerships to launch a new business, while others take on a partner to scale back on sales activities, ease into retirement or expand their service offerings to clients. However, many partnerships fail because either the partners have not thoroughly planned their business venture in advance or they did not choose the right partner. By following several key steps — from vetting potential partners and discussing each partner’s role and responsibilities, to getting legal advice and negotiating an exit strategy — agents can enjoy a lucrative partnership business for the long term.

Find the Right Partner

“Finding the right person is the first — and often the most important — step when forming a partnership,” says Samantha Chechele, a real estate and tax attorney based in St. Petersburg, Florida. Many partnerships fail —Samantha Chechele because partners jump into

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the arrangement with someone they know and like rather than someone whose talents and temperament align with the needs of the business. What agents should look for in a potential partner depends on what they want to accomplish in their business, adds Chechele. “If you are looking to share the workload, then agents need to look for someone with a similar work ethic. To balance out a team, look for someone who complements what you do. For example, if you are a marketing person who drums up business, look for someone to handle the backend, day-today operations,” she says. For some agents, finding the right partner may take a few weeks. For Broekema, it took five years. During that time, she considered several potential partners, but none of them fit her criteria. “I thought this time I better find someone with the same work ethic and value system I have,” recalls Broekema. Her partners Tom and Janie Ebenhack had already built a solid business of their own at Broekema’s brokerage. “They always followed up on all my overflow leads and worked well with my clients. Tom is strong in technology, while my strength is relationship building, so when we became partners, I became a rainmaker for the team. Every piece of business I generate goes directly to them,” Broekema explains.

Hash Out the Details

Where many partnerships fail is in the planning phase, Chechele says. “Agents need to put a lot of thought into a partnership, resolve differences and then get it all in writing,” she says. Finalizing the details up front can result in fewer problems down the road. Before becoming partners, Scott Sammons, a CRS Candidate in Boulder, Colorado, and his partner Grant Muller, CRS Candidate, had multiple conversations to discuss the vision for their new venture, including how the business would operate, the responsibilities of each partner, and most important for both of them, how to keep innovating their business. The two met while working at the same brokerage until Muller left in May 2012 to start Spaces Real Estate. After finalizing the details of their business, Sammons joined Muller the following October, along with Sammons’ wife.

perfect practice

“It’s important to spend time learning how each person approaches problems. Because we worked together previously at another brokerage, we knew how the other person worked and it was easier to form a partnership as a result,” says Sammons.

Meet with an Attorney

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“ There are times when one person carries the load, which can produce resentment. Agents should be patient during those times because the situation usually reverses itself at some point.”

Once partnership details have been worked out, both parties should meet with an attorney who can advise them about the entity’s tax structure and set up a written agreement. While partnership agreements do not need to be in writing, many legal experts say it protects partners from potential disputes. “Without a written agreement, the terms of the partnership may not be enforceable,” Chechele says. Sammons says their partnership agreement was easy to negotiate because he and Muller “shared the same vision for the company.” An attorney helped them set up their business entity and formalize their operating agreement. The partners also consulted with a risk management attorney and a marketing expert that Muller knew who helped them develop their brand. After Broekema and the Ebenhacks consulted with company management and several other teams at Long Realty about how to proceed with their new partnership, Tom Ebenhack wrote up an agreement, which covers Broekema’s commission, how her expenses

NUTS AND BOLTS OF PARTNERSHIP AGREEMENTS Whether hiring an attorney to draw up a partnership agreement or creating it yourself, here are some of the most common terms that should be included, according to Findlaw.com: ÄÄ The proposed name of the partnership business. ÄÄ The respective contributions and ownership percentage of each partner. ÄÄ How profits, losses and draws will be allocated. ÄÄ The authority of the partners — will the decision of one partner be binding on the entire partnership? ÄÄ The decision-making authority of each partner. Will one partner have the deciding vote? ÄÄ The management responsibilities of each partner. For example, who will handle bookkeeping? ÄÄ The exit strategies. What happens to the business in the event one partner decides to leave, becomes disabled or dies? ÄÄ How disputes will be resolved.

are covered and her role in the newly formed team. Even after partners have agreed to the terms, they may need to modify or renegotiate terms as their partnership changes. Joy Carter, CRS, and her brother Jeff Booker with Great Florida Homes in Fort Lauderdale, Florida, modified the terms of their arrangement several times during the first four years in business together. Already a highly —Joy Carter, CRS successful broker in 1996, Carter recruited her 19-year-old brother to handle some of her resale clients. “He had a new baby girl, so I gave him the security of a salary, but that added stress to our relationship,” Carter recalls. Once he became a full partner after four years, they agreed to divide income and expenses equally. If there are any disagreements, Carter has the upper hand. “Because I’m older by 10 years, Jeff may flex more my way or convince me to consider an alternate way of thinking,” she says. Agents should be prepared to deal with possible inequities in their partnership, even with a sibling. “There are times when one person carries the load, which can produce resentment. Agents should be patient during those times because the situation usually reverses itself at some point,” Carter says.

Have an Exit Strategy

What happens to the business if one partner decides to leave or suddenly dies? It’s important for partners to discuss the protocol for different scenarios and make it part of their agreement. Sammons and Muller have talked about their exit strategy since the beginning of their start-up and have had a verbal agreement, which they are preparing to put in writing in the near future. Broekema knows it will be time to exit the business when “I have no more business, or if people stop calling me,” she says. Whether creating a partnership to share responsibilities and expenses or expand service offerings to clients, partnering agents who take the time to plan their business venture can Read more about building enjoy business success and better a successful work-life balance for many years partnership in The Partnership to come. Charter, by David Gage, available at Amazon. com.

Regina Ludes is a freelance writer based in Chicago.

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The Council of Residential Specialists

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dwelling

points

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closeup ready for a

What our mothers told us about what’s on the inside mattering more than what’s on the outside doesn’t hold true in real estate. Homes with an exterior that doesn’t look well-tended are likely limiting the number of potential buyers that will even take a look inside. These homes are lacking curb appeal, and they will probably sit on the market longer and sell for a lower price than similar homes with exteriors that look in top shape. “That first impression is critically important,” explains Faye O’Bryant, CRS, with the RE/MAX Equity Group in the Portland, Oregon, area. “If it looks like a rattletrap, people are going to bypass it and say, ‘No, that’s not how I see my life.’” And while it’s still called “curb” appeal, these days that first look is often occurring on a computer, tablet or smartphone screen — and that’s making it even more important. “When

How CRSs can make sure their listings have curb appeal — and convince their sellers that it’s worth the investment. By Gayle Bennett

the pictures are taken, you can tell the houses that look nice,” says Charisma Marin, CRS, with Charisma Property Group in Orlando, Florida. “And if the pictures don’t look nice, then nobody wants to come see the house. Pictures sell homes.” Boosting curb appeal doesn’t have to break the bank — a little landscaping and cleaning can go a long way toward putting a house on buyers’ must-see lists. CRSs offer their thoughts on how to get the exterior looking its best, and how to convince sellers that the time and money is worthwhile.

What Matters Most

Assuming a house isn’t a top-to-bottom fixerupper that is being marketed as such, almost every home can use a little exterior sprucing before hitting the market. Here are the top tasks expert CRSs want to see a seller invest in before

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dwelling points

curb appeal basics: a checklist Before booking the photographer and listing a property, savvy CRSs make sure their sellers address the following to ensure the home’s exterior is looking its best.

BEFORE

The outside appearance of a property affects the degree to which it appeals to a potential buyer. Painting the exterior, painting or replacing doors, and landscaping the grounds are all key to improving a property’s curb appeal. These photos show a property before and after enhancements were made to improve the exterior appearance of the property.

➊ | Hire a landscaper to trim trees and bushes, put down fresh mulch, add color by planting annuals (if the season allows) and generally make the front yard look clean and well-defined. ➋ | Power wash the exterior of the house, garage, driveway and walkways. ➌ | Wash all the windows inside and out and remove the front-window screens.

AFTER

Repainted exterior

Replaced plantings Repainted garage doors

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Repainted front door

Installed hose roller

they book the photographer and list a home. Landscape the yard. Book a landscaper to make the yard as neat and attractive as possible. “Often there’s overgrowth that’s covering the front door,” says Kitty Taylor, CRS, with Grayton Coast Properties in Santa Rosa Beach, Florida. “You want to make sure that as you drive in, you can see the front door.” Depending on the season and geographic location, landscapers can also plant some annuals to add a pop of color. Adding fresh mulch

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➍ | Consider upgrading the house hardware: mailbox, house numbers, door handle and light fixtures. ➎ | Make the entryway look inviting with potted plants or a door wreath and a new welcome mat. ➏ | If necessary, touch up or repaint the exterior. ➐ | Consider adding a pop of color to the exterior by repainting the front door. ➑ | Address any problems with exterior siding or brick.

gives a yard definition and provides a nice contrast for the flowering plants or annuals. “If the yard is well-kept with fresh mulch, that makes the buyer think, ‘They kept it good on the outside, so it’s going to be good on the inside,’” says Valerie Dupree, CRS, with HomeTowne Realty in Clayton, North Carolina. Focus on the entryway. Dupree tells her sellers to make sure the doorway is sparkling clean, with a new welcome mat and a pot of flowers. “That’s where [potential buyers] are

dwelling points

“ Sometimes when I see a house that I think is fabulous, I will stop, knock on the door and say, I really like your color combination. What is it? ” —Faye O’Bryant, CRS

going to stand for five minutes while the agent is unlocking the door,” she says. Taylor always talks to her sellers about the front door. “If it’s wood, we’ll ask them to restain or refinish it if it shows wear and tear. A lot of our doors at the beach are mahogany, and it needs to be refinished every other year at least.” If the door is better off being replaced, here’s an argument to make to the seller for buying a new one: The 2015 Remodeling Cost vs. Value Report, produced by Remodeling magazine in cooperation with the National Association of REALTORS®, found that replacing the door returned a national average of 101.8 percent. In other words, it more than pays for itself. Power wash and paint. Every home can benefit from a good power wash, and a landscaper can likely handle that task. In addition to the exterior of the house and the garage, wash the driveway and any walkways. O’Bryant feels strongly about the benefits of a good paint job. “Sometimes when I see a house that I think is fabulous, I will stop, knock on the door and say, ‘I really like your color combination. What is it?’” Right now she likes the combo of taupe and charcoal for the trim. She also likes to have the door painted red or black. Many of the homes listed by Becky Johnson, CRS, president of The Stars, in Lafayette, Indiana, have vinyl siding or brick, so repainting isn’t much of an issue. But she remembers one painted house that she took over when it wasn’t selling with another REALTOR®. “We came in and recommended they paint the whole exterior of the home. We got a full-price offer within two days of it going back on the market.” However, Marin doesn’t tend to recommend her sellers paint since the Florida heat requires

homeowners to paint every four to five years as it is. “A buyer typically is going to want the house painted their color,” she says. “Yes, they do sell better when they are painted, but the problem is that people don’t always have the same tastes with color.” For reasons unknown, both Marin and O’Bryant — across the country in Oregon — have found that blue houses take longer to sell.

Selling the Seller on Exterior Fixes

Sometimes sellers don’t understand the power of good curb appeal. They might think their homes’ other great attributes will overcome a ho-hum exterior and still get buyers in the door. Visual aids and data can change minds. With sellers who initially balk at sprucing up the exterior, Dupree tells them that it will probably take three times as long to sell their house. “You can compare the price per square foot they are going to get if it sits compared to the price per square foot if it doesn’t,” she says. Johnson focuses on the current competition. “Typically, we can convince them that it’s important to invest in curb appeal by showing them pictures of homes currently on the market and a picture of their current curb appeal.” Taylor focuses on the return on investment. “I’ll tell them if they will spend $2,000 on curb appeal, and I’ll spend $1,000 on the video tour and professional photographs, then I’ll get them an extra $20,000 to $100,000, depending on the house.” CRSs can further help sellers address curb appeal by giving them a list of landscapers, handymen and painters they know are good and reasonably priced. In fact, O’Bryant likes her sellers to use her landscaper because he knows exactly how she wants the yard to look. The first impression sets the stage for how a potential buyer is going to view the house as a whole. “If the outside looks pristine, that’s definitely a part of buyers knowing that the house has been taken care of,” Johnson says. “Then they feel like that pristine quality applies to the rest of the home.”

MAKING BACK FROM MAKING UP

Power washing and landscaping can do a lot for dialing up curb appeal, but sometimes bigger fixes to the exterior are needed. The good news is that research shows that the return on investment of many of these jobs is quite high. 2015 Remodeling Cost vs. Value Report, produced by Remodeling magazine in cooperation with the National Association of REALTORS® and REALTOR® Magazine, estimated costs for 36 midrange or upscale home-improvement projects, along with the percentage of the cost owners can expect to recoup when they sell. Here are the five projects that recoup the highest share of their cost — and they all affect curb appeal. Entry door replacement

101.8 % Manufactured stone veneer

92.2%

Mid-range garage door replacement

88.5 %

Siding replacement, fiber cement

84.3%

Gayle Bennett is a writer and editor based in Washington, D.C.

Upscale garage door replacement

Learn more by reading Creating Curb Appeal, by Michelle Valigursky and Lisa Vail, available at Amazon.com.

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82.5 % crs.com

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Website

Repeat customer

12%

10% Open house

How homebuyers most commonly find real estate agents

For sale/open house sign

Source: 2014 Profile of Home Buyers and Sellers, National Association of REALTORSÂŠ

Agent/broker referral

Referral

40%

Agent contact

Employer referral

Walk-in

Other

12%

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2%Search engine % 1 Newspaper/Yellow Pages 1%

super

marketing

[feature]

An updated take on how to develop new business leads. By Donna Shryer

Ask experienced REALTORS® what they think about cold canvassing, whether by phone or front door, and the answer is amazingly consistent. As Larry Kleinheksel, CRS, with Coldwell Banker Woodland Schmidt in Holland, Michigan, puts it, “I don’t do it, but if someone has enough ambition — it would probably work.” Now ask average citizens how they feel about cold canvassing. Bob Leonard, CRS, with RE/MAX Associates in San Antonio, says that the response is typically

beyond neutral; it’s negative. “Stranger danger isn’t just for kids!” Leonard says. “People won’t answer their door when they don’t know who’s ringing the bell. And they rarely answer the phone if they don’t recognize caller ID.” With potential clients shunning cold canvassing, how does the experienced REALTOR® prospect for new clients? Here are several effective tactics to put your name, company, phone number and website out in front of potential buyers and sellers.

The Future Is in the Past

One of the most effective and cost efficient prospecting tactics for future clients lies in past clients. According to the National Association of REALTORS® 2015 Profile of Home Buyers and Sellers, 88 percent of buyers would use the same agent again for their next transaction or recommend their agent to others. Scott Wendl, CRS, with RE/MAX Real Estate Group in Des Moines, Iowa, suggests that a “little extra effort” can grow this stat. “At least 94 percent of my business is returning past clients and referrals from past clients.” In addition, this solid-gold resource brings financial benefits, explains Brian Ladd, CRS, with Ladd Group, Cascade Sotheby’s

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International Realty, in Bend, Oregon. “The cost to acquire a new listing is exorbitant,” says Ladd. “I spend about $40 per lead, which encompasses my hard-cost based on my online spend with Zillow, Trulia, Google PPC advertising, etc. With 2 percent conversion on $40 per lead, it costs about $2,000 in client acquisition. So you can see, I can’t afford to work with someone just once. I make money when past buyers become sellers or send me referrals.” The key to maximizing referrals and return business from past

SOCIAL STUDIES

To be or not to be on Facebook: that is the question. And the answer is typically, sure, but don’t do it to score a sale or listing. Do it to send buyers and sellers to your website, where you can present yourself properly and professionally. “Social networks are an essential part of the business. I post something almost every day, and try to keep everything I post as something of value to my clients,” explains Brian Ladd, CRS, with Ladd Group, Cascade Sotheby’s International Realty, in Bend, Oregon. “However, I do not see it as a way to capture the clients. I always redirect every post to my website, which ultimately has the lead-capture tools I need to engage and convert that buyer. Facebook alone won’t do it.”

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clients comes down to constant contact. “The whole point of prospecting is to have your name and phone number in front of people when they’re ready to pull the trigger — whether buying, selling or recommending. You can’t be a secret agent,” Leonard says. ÄÄDirect mail is a favored way to stay in touch, although Ladd stresses that you’re reaching out to busy people leading busy lives, so you need that postcard or flyer to not only reinforce your name, but also offer something of value — an incentive to read on. “This takes time and usually a financial investment, but the ROI can be big.” Kleinheksel, whose mailing list is 1,200-strong, sends past clients a newsletter and an email or two each month: “I write everything myself so I can make sure there’s something of value for my market. I might write about my new listings in the neighborhood, current interest rates, a great Internet app and things happening in town that I think people want to know about.” ÄÄEmail is another way to stay in touch with past clients. Since the email itself is free, Wendl invests in email attachments. Once a month, his email arrives with a coupon for a local restaurant or service. The coupon, generated

by Referral Squirrel, arrives with encouraging words asking for a referral and Wendl’s contact information prominently displayed. He also routinely emails a one-minute video, in which he chats up his market’s real estate news and personally thanks past clients for referrals. ÄÄClient appreciation events are another way to keep your name front and center with past clients. Wendl recently rented a movie theater and invited past clients for appetizers, a few drinks and a movie. “Right before the movie started, I took the microphone, with my contact information on the big screen behind me, and offered an extra drink ticket to the first 10 guests who texted me a referral. I ended up grossing about $20,000 in commission off that night’s referrals — giving me a 400 percent return on my investment.”

Click with New Clients

In today’s Internet-driven world, a user-friendly, professionally designed, content-rich and up-todate website is typically seen as a vital prospecting tool. Supporting this opinion, the National Association of REALTORS® 2015 Profile of Home Buyers and Sellers reports that 42 percent of recent buyers begin their buying process online

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the exception to the rule

There are two instances where cold canvassing can work in your favor: expired and FSBO listings. For Bob Leonard, CRS, with RE/MAX Associates in San Antonio, Texas, reaching out to homeowners whose listing has expired is one of his most effective prospecting strategies. “Being the second agent comes with advantages,” Leonard says. “The seller has already gone through the bruises and bumps — and if they’re truly interested in selling, they’re now ready to get serious.” A For Sale By Owner (FSBO) listing can be an easy win — if you have a few pertinent statistics in your back pocket. For example, a discouraged homeowner who’s grown tired of the DIY approach would be interested to hear how the FSBO approach fares: According to the NAR 2014 Profile of Home Buyers and Sellers, less than 10 percent of FSBOs actually sell, and according to Realtor.com, more than 90 percent of FSBO listings eventually end up with a real estate agent. The ace up your sleeve? According to the National Association of REALTORS® 2015 Profile of Home Buyers and Sellers, a typical FSBO home sold for $210,000 compared to $249,000 for agent-assisted home sales. and 9 of 10 buyers used the Interto my website. But many people net at some point while looking think registering triggers email solicfor a home. itation, so to avoid that, they skip With these stats in mind, Ladd registering and go to another site.” directs every communication back If you’re not sure where you to his website. “When I post a stand on registration, consider Facebook video of a property or asking your site developer to set up send an email, it says ‘for more a test and see if you gather more information click here,’ which leads with or without registration. goes to my website. And when I hold a neighborhood event, I have Group Dynamics them RSVP on my site. Everything Prospecting through groups always points back to my website created for the purpose of netas a name capture tool. Once I working gets a strong thumbs up capture their information, we move from many REALTORS®, includinto traditional prospecting.” ing Wendl, who explains, “I belong The website’s status is VIP, but to two networking groups, and the jury is still out as to whether I’ve made thousands and thousite visitors should be required to sands of dollars off referrals register before clicking through from these groups.” your listings. As for prospecting through On the one hand, Ladd feels that social groups, “Don’t do it,” registration is imperative: “A buyer Leonard stresses. “Long term, comes to my site for a best-in-class you’ll probably get some business, website experience and up-to-date but don’t join for that reason. information. That takes time and Talking business is out of place in financial investment on my part. a social club and might actually All I ask in return is the visitor’s cost you a lead in the end.” contact information. If a potential lead isn’t willing to register, then Open and Shut Case they’re not willing to engage. So “I think if someone does a great I’m going to lose them anyway.” job of holding open houses, they On the other hand, Leonard feels could make a very good living,” that site registration is a roadblock. “I Kleinheksel explains. The catch, he do everything possible to drive leads adds, is that doing it well means prospecting for sellers rather than to my website — because I know buyers. “When someone comes to potential buyers are going online view an open house, ask right away to research, and I want them to go

if they have a house to sell, and if so, do they need to sell their home in order to buy a new home. A lot of times the answers are ‘yes’ and ‘yes.’ That’s when I ask if they want me to come over next week and discuss listing their home. Again, the answer is almost always ‘yes.’ And once I get in front of them in their own home, I’ve got the listing.”

Go Full Circle

Whether prospecting for referrals, past clients, registered website visitors or network group contacts, the response to any and every inquiry has to be fast — “faster than fast for referrals,” Wendl emphasizes. “A slow response lets down two people: the person who referred you and the referral. If you want to keep that referral circle going, you have to make sure everyone is happy.” To sweeten the referral circle, Wendl sends a basket of cookies to past clients who recommend him. “I try to send the basket to the past client’s office. It’s another way to put my name in front of an audience — and a captive audience, because everyone likes cookies!” Donna Shryer is a freelance writer based in Chicago. Learn more about prospecting in NAR’s Field Guide to Farming and Prospecting, available at Realtor.org.

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resources for learning & leisure

GOOD READS

hacking

the ladder TO THE TOP A media innovator explains how some people sidestep convention to achieve rapid results.

Defining his book’s title, Smartcuts, as “shortcuts with integrity,” designed to achieve “sustainable success quickly through smart work,” author Shane Snow says: SMARTCUTS: “The conventions we HOW HACKERS, grow up with can be INNOVATORS, AND ICONS hacked. Anyone — ACCELERATE SUCCESS not just billionaire by Shane Snow entrepreneurs and Harper Business professional maver260 pages, $26.99 icks — can speed up progress in business or life.” In the book’s first section, “Shorten,” Snow demythologizes the very concept of hacking. No

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longer does it belong exclusively to If All Else Fails criminals and computer scientists, Snow’s chapter on the wisdom of he remarks; instead, life hacks can “Training with Masters” details why be undertaken by “anyone who has formal mentoring programs are the capability to approach a proba waste of time, while in “Rapid lem laterally.” This includes not Feedback” we discover how comicsonly those who have figured out in-training at Chicago’s Second that a can opener is the best way City progress from flops to funnyto defeat a “blister pak,” but also men by “destigmatizing failure.” A the genius responsible for digitizsense of humor may not be essening entire libraries of old books tial to selling residential real estate, by coaxing millions of people to but look at the parallels between type those floating letters called what motivates REALTORS® CAPTCHAs online. and the techniques that Second In a chapter titled “Hacking the City uses to accelerate its performLadder,” Snow describes how a ers’ growth: former advertising executive par1. It gives them instantaneous layed his marketing expertise into feedback; a career as a bestselling novelist. 2. It depersonalizes critiques, cast(You may have heard of him: James ing the audience reaction as a Patterson, currently at 275 million commentary on the joke rather copies sold and counting.) He also than the teller; and does a compelling job of tracing 3. It lowers the stakes and preshow U.S. presidents have historisure, freeing students to take cally used smartcuts to “get to the risks that enable them to top before senators get in the door.” improve.

YO U M I G H T A L S O L I K E …

For a book aiming to persuade readers that “serendipity can be engineered and luck can be manufactured,” Smartcuts feels like a very synthetic extension of the Shane Snow brand: The author invokes his own website in four footnotes. The would-be Malcolm Gladwellisms continue piling up in Sections 2 and 3, dubbed “Leverage” and “Soar.” These are largely arid passages, yet I genuinely appreciated the occasional knowledge nugget unearthed by Snow’s research: Did you know, for example, that investing in the 50 most idealistic brands from 2001 to 2011 would have been 400 percent more profitable than shares of an S&P index fund? And who ever suspected that Einstein never uttered that famous quote about “the definition of insanity”? (According to Snow, it came from a 1981 Narcotics Anonymous handbook.)

The Feeling Is Mutual

And the author takes his own advice: Instead of seeking out objective reviews of his book for the back cover blurbs, Snow hacks that tried-and-true practice by relying on the people he profiled inside the book. Here, for example, is Give and Take author Adam Grant on the dust jacket of Shane Snow’s Smartcuts, extolling the latter work as “One of the most entertaining and thought-provoking books of the year.” The back-scratching is repaid inside, where Snow quotes Grant three times and cites Give and Take twice. Scott Gerber of the Young Entrepreneurs Council heaps praise on the book as “surprising and awesome. It’s Malcolm Gladwell meets Tim Ferriss ... a book

THANKS FOR THE FEEDBACK by Douglas Stone and Sheila Heen [Viking] 368 pages $ 23.55/hardcover

every 21st-century entrepreneur should read.” Smartcuts is hardly that — it’s more like Malcolm Gladwell gets trapped on a Ferris wheel — but on page 134, Snow credits Gerber for coining the term “superconnector” and quotes his view that, “The No. 1 problem with networking is people are out for themselves.” For a book aiming to persuade readers that “serendipity can be engineered and luck can be manufactured,” Smartcuts feels like a very synthetic extension of the Shane Snow brand: The author invokes his own website in four footnotes — the first appears on the book’s opening page — and by page 9 he is disingenuously exhorting us, “You can learn more about my company at [such&suchawebsite.com] if you are interested.” Indeed, I didn’t truly lose patience with this book until I encountered the pioneer of “screamo” music whom Snow holds up as a paragon of “deliberate pattern spotting to compensate for experience.” It was the final straw in a long litany of instances where the author stretches real-world oddities into supposedly representative business cases. Bottom line? Either Smartcuts is far too hip for this Bear of Very Little Brain, or the book is so far-fetched that it constitutes a Snow job.

Turning evaluations, advice, criticisms and coaching into productive listening and learning. MASTERY by Robert Greene [Viking] 352 pages $ 17.67/hardcover Learn how some of history’s greats — from Charles Darwin to Henry Ford — mastered their crafts and became people who changed the world. THRIVE by Arianna Huffington [Harmony] 352 pages $ 17.83/hardcover Arianna Huffington, co-founder and editor-in-chief, Huffington Post Media Group, thinks business should help you achieve personal wellbeing—not just money and power. ESSENTIALISM: THE DISCIPLINED PURSUIT OF LESS By Greg McKeown [Crown Business] 272 pages $ 13.26/hardcover How to discern what is essential for you to do in your business and eliminate the rest, so you can do less — but better.

Allan Fallow is a magazine editor in Washington, D.C. Follow him on Twitter: @TheFallow.

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B R E W I T YO U R S E L F

resources for learning & leisure

java jones Ø

Lazy winter weekend days can make a good cup of coffee taste even better than your usual workday brew. But when a cup of your favorite variety can run anywhere from $2 to $6 or more at your nearest coffee shop, it might be worth the investment to get what you need to make a great cup of Joe at home. And it’ll help you stay out of wintry weather — at least for a while.

Krups® Electric Spice and Coffee Grinder

When you grind it yourself, a whole pot of coffee made from high-quality beans will probably cost you a lot less than what you’d pay for one venti latte down the street — and it tastes better. This one will enable you to turn beans into fresh grounds in seconds. krupsusa.com

SterlingPro French Coffee Press

The French press offers what may be the simplest way to make coffee at home — or on the road. If you can boil water and measure out coffee grounds, you’re in business. This model makes 34 ounces (eight 4-ounce cups), and it features a double-screen system to ensure that you won’t end up with a mug swimming with coffee grounds. bootic.com/sterlingpro

YO U M I G H T A L S O L I K E …

THE WORLD ATLAS OF COFFEE: FROM BEANS TO BREWING — COFFEES EXPLORED, EXPLAINED AND ENJOYED By James Hoffmann $ 35/hardcover

For coffee geeks who want to know everything there is to know, this is a good place to start. THE DEVIL’S CUP: A HISTORY OF THE WORLD ACCORDING TO COFFEE By Stewart Lee Allen $ 16/paperback This offers a remarkable perspective on coffee’s impact on the emergence of our civilization, from Africa to Asia and Paris cafés at the start of the French Revolution.

Sunpentown Milk Frother

For those who prefer lattes, cappuccinos or hot chocolate, this milk frother froths or steams milk in less than 90 seconds and features an easy-to-clean, non-stick surface; soft touch on/off button; and auto shut-off. sunpentown.com/milkfrother.html

OXO Good Grips® LiquiSeal Stainless Steel Travel Mug A good travel mug lets you take your favorite home-brewed concoction on the road. This 14-ounce cup promises to keep your beverage hot for up to seven hours, and the no-drip spout and non-slip grip keeps any spillage problems to a minimum. oxo.com

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COMEDIANS IN CARS GETTING COFFEE This online comedy series features Jerry Seinfeld picking up a fellow (usually famous) comedian in a vintage car to go for coffee. Hilarity often ensues. comediansincarsgetting coffee.com

inside

IT WAS A VERY

CRS

good year

news from the council

The Council looks back on a year of achievements and opportunities.

2015 was an exciting year for CRS, as the Council tackled new challenges and worked toward some ambitious new goals. These efforts are working: The Council finished the year with membership up 2 percent from 2014, while member retention and member satisfaction stood at 90 percent. We are grateful to all of you for your tremendous efforts to support the organization throughout this year. As the year came to a close, our chapters were completing the transition to the new State CRS community network, enabling all CRS members to connect and engage with each other locally and nationally. CRS introduced several complimentary new and exclusive CRS member benefits this year to help keep you informed and connected, grow your business and prepare you for the future: ÄÄNew State CRS online communities: your portal to all the valuable CRS resources available at a local level where you can go to get information, learn about upcoming events, connect with colleagues, participate in discussions and much more. ÄA Ä new and improved CRS Referral Network that includes the following features: ÄAn Ä enhanced “Find a CRS” directory with search by zip code and improved filtering and sorting features. ÄThe Ä new “CRS Qualified Consumer Leads” service (powered by ReferralExchange), which delivers free qualified consumer leads directly to CRS Designees when they sign up through CRS.com. ÄÄComplimentary Inman Select news service (valued at $199), available free to CRS members when they log in to their CRS account. ÄÄExclusive discount on the Deductr expense tracking

software to help all CRS members better manage taxes for their businesses. CRS members get a 50 percent discount on Deductr’s annual subscription rate. ÄThe Ä new CRS Pop-Up Store, which includes on-demand, CRS-branded merchandise. If you haven’t yet taken advantage of these benefits, please log in to your account at crs.com to find out more. In 2016, CRS will focus on: ÄÄCompleting the transition to our new member engagement model ÄÄProviding more timely education through diverse delivery channels ÄÄProviding more resources to members to help grow their businesses ÄÄGrowing membership and revenue ÄÄCompleting a governance restructure The Council is also working to provide more business solutions for members looking to improve their operations with the help of consulting, coaching and mentoring. We are excited to begin pilot testing these new service offerings this year. CRS is developing additional new classroom and online courses, including a robust new program for Sell-a-bration® 2016 — “Let’s Talk Business,” which will be held February 8–9, 2016 in Orlando, Florida, at the Loews Royal Pacific Hotel. CRS is working diligently to usher in another successful year by providing our membership with critical support and added value now and for the future.

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inside

CRS news from the council

The 2016 Executive Committee. (From left) Lana Vukovljak, CEO; Gary Williams, CRS; Bobbi Howe, CRS; Jennie Chapin, CRS; Janelle Pfleiger, CRS; Leigh Brown, CRS; Dale Carlton, CRS; and Holli Woodward, CRS.

THE NEW GUARD

Meet the new CRS leadership and 2015 award winners.

Ø 2016 CRS President Janelle Pfleiger, CRS, enjoys the Inaugural presentation.

Jan Feb

At the Council’s 2015 annual meetings in San Diego, the 2016 CRS officers were sworn in during an inauguration ceremony on Nov. 13, 2015. Janelle Pfleiger, CRS, Leigh Brown, CRS, and Gary Williams, CRS, were installed as president, president-elect and first vice president, respectively.

President Janelle Pfleiger began her career in real estate in 1980. She graduated Cum Laude with a B.A. in business administration and a minor in real estate. She is an associate broker with RE/MAX Dynamic Properties. Pfleiger obtained her CRS Designation in 1987 and also holds the GRI, CLHMS and CDPE

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designations. She has served on numerous CRS national committees and as a Regional Vice President in three different regions. She has been named Alaska CRS of the Year and the Anchorage and Alaska REALTOR® of the year, among other honors. President-elect Leigh Brown of RE/MAX Executive Realty is a third-generation REALTOR® who earned her CRS Designation in 2003. A native of Cabarrus County, North Carolina, Brown joined her father, Darrell Thomas, in the business in 2000. She has attained several designations in addition to the CRS, including the ABR, CIPS, SFR and ePro, among others. She has been actively involved in her chapter and in CRS national leadership. First Vice President Gary Williams of Coldwell Banker Burnet Realty, in Edina, Minnesota,

has been a CRS since 1997, and he won CRS of the Year in 2007. His focus on customer service has translated into a long and successful career, and he has been in real estate in his native Twin Cities area for 28 years. Williams has attained several designations in addition to the CRS, including the ABR, GRI and SRES. He has been actively involved in both state and national CRS leadership.

Celebrating Achievement

At the Inaugural Ceremony during the annual meetings, CRS recognized several top-achieving individuals. The CRS Medallion Award honors people who have not only excelled throughout their careers in real estate, but who have served the Council at both the local and national levels for many years. In 2015, two well-known CRSs met the criteria and nabbed the award. They have served as Chapter

chapters

NEW BENEFIT

2016 CRS President-Elect, Leigh Brown, CRS, and 2016 CRS First-Vice President, Gary Williams, CRS, were sworn in by 2015 CRS President, Dale Carlton, CRS.

Leaders, on multiple committees and on the Board of Directors. They each have also received the CRS of the Year award. They are: ÄÄMark Hess, CRS ÄÄJerry Rippeteau, CRS CRS presented its Distinguished Service Award to two CRS instructors who have introduced thousands of REALTORS® to the CRS Designation and given them the tools they need to succeed in this business. These honorees demonstrated the highest level of dedication to CRS and helped deliver the best education in the industry. They both have served in a leadership capacity within the Council and helped guide its direction. They are: ÄÄLeroy Houser, CRS ÄÄFrank Kowalski, CRS

Chapter/State CRS Recognition

The CRS Chapter of the Year Award is given to CRS chapters in three categories — small, medium and large — in recognition of their efforts to advance the Council’s mission and help the organization achieve its goals. These chapters engaged their membership by promoting the designation within their community. They also held CRS courses and promoted Council education programs. The winners were: ÄÄSmall chapter: Central Virginia CRS Chapter ÄÄMid-size chapter: Kansas CRS Chapter ÄÄLarge chapter: Washington CRS Chapter

GO TO MARKET

CRS announced a new partnership with RESAAS Services Inc., a cloudbased social business platform for the real estate services industry. RESAAS will develop a private-label Marketplace available to CRS Members as a new exclusive member benefit. The CRS Marketplace will offer exclusive access to industry-leading vendors at discounted rates. With over 60 vendors anticipated to participate in the CRS Marketplace, CRS members will have instant access to the best tools in real estate. In addition, with new products and services being added to the CRS Marketplace every month, CRS members will be able to stay on the pulse of what’s new and emerging for agents to dominate in their market. “The CRS Marketplace will add immense value to our roster of existing member benefits,” said Stephanie Crain, director of business development at the Council of Residential Specialists. “The CRS Marketplace will be the newest benefit added for our members and provide them with significant discounts on cutting-edge tools and services we see top-producing agents using regularly.”

WITH A HEART

Washington chapter gives back to REALTOR® diagnosed with cancer.

Dale Carlton, 2015 CRS President presents 2015 Washington CRS Chapter President, Sharri Bailey, CRS, with a Chapter with a Heart recognition plaque at the 2015 CRS Annual Meetings.

In 2015, CRS Chapters all across the nation opened their hearts to give back to their communities, raising over $100,000 total for Chapter With a Heart. Many of the chapters stood out with their contributions and compelling stories, including the Washington CRS Chapter. When Sharri Bailey, CRS, Washington CRS Chapter President, heard about a local REALTOR® who was diagnosed with leukemia, she was compelled to help. She helped organize her chapter to get involved as part of the CRS Chapter With a Heart program, and donations poured in. The Washington Chapter eventually raised over $1,200 for the agent to help him with costs related to his diagnosis. Additionally, the Washington CRS Chapter also raised over $10,200 total for four charitable organizations with a Masquerade Ball, various events and additional donations. The organizations included the Autoimmune Society, SolidGround, Tulip Town and Habitat for Humanity. The Washington CRS Chapter goes above and beyond in taking care of not only its members, but also its community. “My goal this year was to strengthen our membership and further our position as leaders in our community,” said Bailey. “This was a large reason why our chapter went above and beyond for Chapter With a Heart. Looking back on the year, I am proud of the Washington CRS Chapter and the positive contributions we have made as a family.” To see the full list of Chapters With a Heart contributions, please visit crs. com/community/chapters-show-theirheart. Please inquire with your State CRS about how to get involved with Chapter With a Heart. Log in at crs.com/chapterauthenticated-link for information.

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learn

from the

BEST strategies from the industry’s top educators

NO LIMITS

A few fairly simple strategies can help new agents and grizzled vets alike succeed. Frank Serio, CRS

The great thing about the real estate industry is that the sky’s the limit as to how much an agent can earn. With a little bit of focus, discipline and hard work, any agent can excel. Both agents who are new to the business and veterans looking for a renewed kick-start to their career can benefit from the following tips:

Build a Database. Reflect on all the people you know and compile a list of those who already sing your praises. These people will become the nucleus of your core group of raving fans. Think about vendors you have worked with, who sold you your car, who fixed your computer, your banker, accountant, etc. Anyone can be a possible client or source of referrals. Add these names into a database (CRM) and create a systematic way to reach out to them on a consistent basis with valuable content.

CRS INSTRUCTOR

Frank Serio, CRS, is a Certified CRS Instructor and broker/owner of RE/MAX By the Sea in Bethany Beach, Delaware.

frank@theserios.com www.TheSerios.com

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Always Be Marketing. People in your community need to know who you are, what you do and how to find you. Make it a habit to give out 20 business cards a day. Write five thank-you notes a day to people you have just seen, read about in the paper or online, heard good things about or have spoken to that day. Wear a name tag everywhere you go. You will be surprised that people will actually ask you about the market and inquire about buying or selling a home.

Be Social. Social networks make it easy to stay visible in front of your sphere. But be sure to contribute information that your friends would find relevant — and it does not necessarily have to be about real estate. Keep your online profiles and pictures up to date on the various social sites so people can see you are engaged.

Monitor Your Online Presence. Search the keywords potential clients might use if they were looking to buy or sell a home in your area. If your name and business does not come up, it’s time to upgrade your online presence (your own website, home search, etc.). Many MLSs now allow IDX to display sold data: You can call all your past clients and ask if they would like to be kept up to date on what properties are being sold in their communities. Most people will say yes, and this is a great foundation to stay in touch with the community you serve.

CRS

connect

YOUR CRS

network

CANADA

Toll Free: 1-888-727-8223, ext. 228 www.hallmarklindrealty.com

Fax: 905-727-2230

E-mail: lenard@hallmarklindrealty.com

NORTHEAST

Jody Korman, CRS, had a best friend who was moving from Richmond, Virginia, to Fort Lauderdale, Florida. She needed an agent to help her find a home there, and Korman knew just the person — another CRS! Korman referred her best friend to Holly Sargent, CRS, at RE/MAX First in Fort Lauderdale. Sargent was able to help the client purchase her first home in Florida in 2012. A year later, the same client needed Sargent’s help again. She was getting married and needed help selling her current home and finding her second Florida home. Sargent successfully sold the client’s home and also helped sell the fiancé’s home. She then found the soon-to-be married couple their first Florida home together. They were married in April 2014 and even hosted their wedding in their new home, which is within walking distance of the beach in Fort Lauderdale. Sargent ended up with four referrals from just one client, and the couple ended up with a beautiful home. CONNECTION PERFECTION

RE/MAX Hallmark Lind Group Realty Ltd., Brokerage Aurora Ontario Canada

expand your network

SOUTH

SOUTH NAPLES, BONITA SPRINGS, ESTERO, FT MYERS—FLORIDA

Your referral source for the greater

Marie Pimm

Pittsburgh

PA Realtor® CRS, CIPS, e-PRO, GRI

area

Cell: (239) 770-3383

Email: mpimm@comcast.net www.MariePimm.com

I help clients make the Wright move Nancy Wright, ABR, CRS, GRI

RE/MAX Realty Brokers 5608 Wilkins Ave. Pittsburgh, PA 15217 OFS: 412-521-1000 x170 CELL: 412-508-0040 nancywright@remax.net

SOUTH

MariePimm.com

SOUTH

24201 Walden Center Dr. Bonita Springs FL 34134

SOUTH

Kent Redding BROKeR, gRi, CRs, ABR

the Kent Redding group Berkshire Hathaway texas Realty

512.306.1001

Austin, texAs Kent@CallKent.com www.CallKent.com

LEADING THE WAY IN SOUTH FLORIDA REAL ESTATE GARY LANHAM

Group Leader Associate Broker CRS, CIPS, ABR, ePRO

954.545.5550 (office) 954.695.6518 (cell) gary@garylanhamgroup.com www.GaryLanhamGroup.com

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CRS

connect

CRS CLASSROOM COURSES expand your network

CRS classroom courses earn either eight credits (for 100-level, one-day courses) or 16 credits (for 200-level, two-day courses) toward the CRS Designation. At press time, the CRS courses listed below were scheduled for 2016. For more up-to-date listings, visit crs.com.

FEB. 17 — EDINA, MINN. [Minnesota CRS]

CRS 103 — Mastering Time to Achieve Your Goals

612.801.8925

FEB. 11 — BRENTWOOD, TENN. [Williamson County Association of REALTORS®]

Instructor: Chandra Hall, CRS APRIL 20 — HONOLULU [Hawaii CRS]

615.771.6845

Instructor: Robert Morris, CRS

808.946.9468

CRS 120 — Converting Leads Into Closings

Instructor: Mike Selvaggio, CRS

JAN. 26 — BRENTWOOD, TENN. [Williamson County Association of REALTORS®]

MAY 4 — TAMPA, FLA. [Florida CRS]

615.771.6845

813.748.8440

Instructor: Robert Morris, CRS

SOUTH

Connection

Instructor: Jackie Leavenworth, CRS FEB. 15 — EDINA, MINN. [Northeast Region CRS] 612.801.8925

Instructor: Chandra Hall, CRS

Broker,ABR,CLHMS,CRS, SRES,REALTOR, Since 1984

WE ARE YOUR MILITARY RELOCATION SPECIALIST. SERVING FT. BRAGG, POPE ARMY AIRFIELD AND SURROUNDING AREAS.

www.YourHomeConnection.com I want to be you CRS Realtor of Choice when you have a client relocating to North Carolina. Proudly serving the Fayettteville and Ft. Bragg area.

Barbara Shoenberger CRS/GRI/ABRM/CSP

Cell: 910-263-1495 Office: 910-222-8000

Email: Bshoenberger@gmail.com

WEST

SOUTH

RELOCATION SPECIALIST “Succeed with Sandra Jean” Certiﬁed Real Estate PRO

WE SUPPORT OUR MILITARY

DIRECT: 919-418-2400 Serving: Raleigh, Durham, Chapel Hill, Research Triangle Park, Wake Forest & Surrounding Counties, North Carolina

www.FindRaleighHomes.com Email:sandra@sandrajean.com

Seattle & the ‘Burb’s

lisacromwell@remax.net www.LisaCromwell.com

Hawaii?

RE/MAX Northwest Realtors

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Direct: 703-999-6535 Office: 571-210-SELL

www.JamesHawaii.com

Managing Broker, CRS, GRI, I-Pro, SRES, WCR

Relocation, city-wide to world-wide. Seniors Specialist/Estate Specialist Voted Best in Client Satisfaction multiple years —Seattle Magazine

Re/Max Premier offices in

Ashburn, Fairfax and Leesburg

Thinking

Barb Avery

SeattleSuburbs@yahoo.com www.SeattleSuburbs.com

Serving Northern Virginia and the Dulles Tech corridor

WEST

Serving Seattle, Bellevue, Kirkland, Redmond, Bothell, Duvall, Lynnwood & Woodinville

888-255-2272 (Call-Barb) 206-226-2879

ABR, CRS, SRES, GRI, CDPE

RE/MAX United, 9131 Anson Way, Raleigh, NC 27615

WEST

The Residential Specialist trsmag.com

804.249.5722

Sandra Jean LaBarbera

YOUR HOME

JAN. 11 — GLEN ALLEN, VA. [Virginia CRS]

Instructor: Gee Dunsten, CRS

SOUTH

Jan Feb

CRS 121 — Win-Win Negotiation Techniques

Craig Zager Selling Lake Tahoe since 1989 Over 700 million in Tahoe sales

Sell Sell phone: phone: 775.901.4663 craig@CraigZager.com

www.LakeTahoeAgent.com

29 years of “Experience You can Trust” James E. Lewis (R) CIPS, CRS, GRI, SRES® Cell: 808.225.0569 RB-14807 Email: J.Lewis@Realtor.com Equal Opportunity Act. Operated by a subsidiary of NRT LLC. Coldwell Banker® and the Coldwell Banker Logo are registered service marks owned by Coldwell Banker Real Estate LLC. Real estate agents not employees of Coldwell Banker Real Estate LLC, Coldwell Banker Residential Brokerage or NRT LLC.

APRIL 14 — NASHVILLE, TENN. [Greater Nashville Association of REALTORS®]

MARCH 16 — SALEM, ORE. [Oregon CRS, Oregon Association of REALTORS®]

615.254.7516

360.901.0307

Instructor: Jackie Leavenworth, CRS CRS 200 — Business Planning and Marketing FEB. 16 — MEMPHIS, TENN. [Memphis Area Association of REALTORS®]

Instructor: Edward Hatch, CRS CRS 201 — Listing Strategies MARCH 15 — DENVER [Denver Metro Association of REALTORS®] 303.756.0553

901.685.2100

Instructor: Rich Sands, CRS

FEB. 25 — HAMPTON, VA. [Virginia CRS]

MARCH 29 — MADISON, WIS. [Wisconsin REALTORS® Association, Wisconsin CRS]

804.249.5710

608.241.2047

Instructor: Edward Hatch, CRS

Instructor: Chandra Hall, CRS

Instructor: Mike Parker, CRS

WEST

Reach more than

30,000

CRS peers with your ad here. Contact Joe Stella: jstella@glcdelivers.com or 847-205-3127

WEST

COLORADO

HAWAII

Joan M. Pratt

MS, CRS, CLHMS, CDPE, CARI

...sharing Aloha through excellence and experience...

DenverMetroReferrals.com

720-506-3001

Nancy D. Metcalf, CRS REALTOR®, Vice President

RE/MAX Professionals

RB-16599

CRS of the Year, 2003

“Elevate Your Expectations”

Direct: (808) 223-9246 nmetcalf@cbpacific.com www.nancymetcalf.com

« « « « « Voted Five Star Agent for Overall Satisfaction for 5 Straight Years!

WEST

Celebrating 25 years assisting clients! 1991-2016

MIDWEST

WEST

Serving the Greater Cleveland, Ohio Area for Over 15 Years Jackie Collesi, CRS

REALTOR ®

Office: 216.751.8550 Cell: 216.780.8607

Quality Service Award Top 3% Company Wide

Email: jackiecollesi@howardhanna.com Website: www.jackiecollesi.howardhanna.com

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CRS

connect

CRS CLASSROOM COURSES

expand your network MAY 2 — LANCASTER, PA. [Pennsylvania CRS] 717.569.4625

Instructor: Jackie Leavenworth, CRS CRS 202 — Effective Buyer Sales Strategies

CRS 204 — Buying and Selling Income Properties FEB. 17 — HONOLULU [Hawaii CRS] 808.733.7060 x0

Instructor: Chris Bird

FEB. 2 — AUBURN, ALA. [Lee County Association of REALTORS®]

MARCH 9 — STATEN ISLAND, N.Y. [New York State Association of REALTORS®]

334.321.0606

800.239.4432 x219

Instructor: Chandra Hall, CRS

Instructor: Chris Bird

FEB. 22 — PUEBLO, COLO. [Pueblo Association of REALTORS®] 719.545.3666

Instructor: Chandra Hall, CRS MARCH 2 — BROOKSVILLE, COLO. [Hernando County Association of REALTORS®]

CRS 205 — Financing Solutions to Close the Deal MARCH 1 — NASHVILLE, TENN. [Greater Nashville Association of REALTORS®] 615.254.7516

Instructor: Dale Carlton, CRS

352.799.1971

CRS 206 — Technologies to Advance Your Business

Instructor: Jackie Leavenworth, CRS APRIL 19 — DENVER [Denver Metro Association of REALTORS®] 303.756.0553

Instructor: Rich Sands, CRS APRIL 21 — BIG ISLAND, HAWAII [Hawaii CRS]

APRIL 6 — LUTHERVILLE, MD. [Maryland/DC CRS] 410.627.5961

Instructor: James Nellis, CRS CRS 210 — Building an Exceptional Customer Service Referral Business

808.371.8708

Instructor: Mike Selvaggio, CRS APRIL 28 — STATE COLLEGE, PA. [Pennsylvania CRS]

APRIL 11 — OKLAHOMA CITY [Oklahoma CRS] 918.625.7441

Instructor: Robert Morris, CRS

717.569.4625

Instructor: Jackie Leavenworth, CRS Elective Courses Elective courses vary in length and credits earned toward the CRS Designation. Please visit the CRS website for details at crs.com.

Jan Feb

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PERSONALIZE, REPRODUCE AND MAIL THIS NEWSLETTER TO YOUR CLIENTS

EDIT

Leave YOUR HOME as is, or personalize the newsletter by adding your photo, logo, address and phone number to the mailing panel.* You can also substitute any article in the newsletter with one of your own. Edit the newsletter e lectronically by downloading the Microsoft Word version at crs.com/ yourhomenewsletter. PLEASE NOTE: The images featured in the YOUR HOME newsletter may only be used within the PDF version of the newsletter. These images may not be reproduced or republished elsewhere outside of this newsletter format. CRS members are free to re-use the text of the articles contained in the newsletter, however.

REPRODUCE

Do it yourself with your office copier, or take the newsletter or electronic file (in addition to your photograph and any information you want inserted) to a printer who can prepare and reproduce the newsletter for you.

DISTRIBUTE

MAIL. If you photocopy YOUR HOME or use it “as is,” please note that it is designed to be folded in a Z fold with the words YOUR HOME facing out on one side and the mailing panel facing out on the other side. Postal regulations require that Z folds have three closures (tabs or tape) — one on top in the center and two on the bottom. For your convenience, we have placed asterisks (*) where the closures should be. Be sure to check with your local mailer or post office to make sure you have prepared your mailings properly. ELECTRONIC FILE. Attach the customized newsletter file to an email to your clients or create a Web link to the file on your website. Consult your webmaster or technician to make sure the file is prepared correctly for these purposes, since these basic instructions will vary by person and system. * This newsletter is for the exclusive use of CRS members.

your *

home J A N / F E B 2 016

Tips and tre nd s for homeow ners, buyers and sellers

ACCESSORIZE IT

If your home décor seems stuck in a rut, updating your accessories can bring more spice to your living space. When accessorizing your home, follow these simple tips and tricks from HGTV and HouseBeautiful.com. ÄÄHighlight a few favorite accessories at one time. While it’s fun to collect different styles of pillows, artwork and collectibles, displaying them all at one time can overwhelm the room. Try showing only 20 percent of your prized accessories at a given time and change them regularly throughout the year. ÄÄHighlight a focal point in the room. Perhaps you have a uniquely designed fireplace mantel or a treasured area rug that you want to showcase.

Select a piece of artwork to complement the rug, or display a few photographs or your favorite figurines along the mantel. ÄÄChoose a color scheme and theme. Before buying accessories, decide on one or two colors that will add visual interest to each room and complement your furniture and wall colors. If your furniture and walls are neutral, choose bold colors for your accessories to create a vibrant look. Accessories can also play up a theme of a room. ÄÄ Group similar items. To create a consistent, balanced look, display accessories in small groupings. Some designers work by the rule of three. For example, a trio of matching mirrors lined up on the wall with a

NO MORE CLOSING SURPRISES Thanks to new mortgage disclosure guidelines from the Consumer Financial Protection Bureau (CFPB) that became effective October 3, 2015, homebuyers can expect a more seamless closing process and fewer headaches at the closing table. The new rules simplify the loan paperwork so buyers understand

exactly what they owe. Buyers can expect to receive two documents during the sales process — a loan estimate and a closing disclosure form, which are intended to be more transparent and could save them money on hidden costs and small-print fees that they might otherwise miss.

The loan estimate details the transaction, including the estimated loan and closing costs. Consumers can use this form to do an apples-to-apples comparison when shopping for home loans. The closing disclosure form, which details the final transaction, is provided to buyers three days before closing so they can confirm

contrasting background can provide a dramatic focal point. ÄÄLight up your space. Create instant impact by choosing light fixtures that complement the design style of the room. To create a certain mood, use wall sconces, an extravagant chandelier or recessed lighting. With the right accessories, your home can go from stale to stunning in no time.

whether they are getting what they expected and negotiate any changes. The two documents mirror each other, making it easy to compare estimates with final loan terms. Because of the strict timing rules lenders must follow, it’s important that buyers provide lenders with all the information they need to process their

loan applications quickly. A qualified real estate professional can help ensure that all paperwork and negotiations with the seller are completed in a timely fashion. For more information and to see samples of these forms, visit the CFPB’s website, consumerfinance.gov.

BROUGH T T O Y OU B Y Y OUR A GEN T, A MEMBER OF T HE C OUNCIL OF RE SIDEN T I A L SPECI A L IS T S

Tips and trends for homeowners, buyers and sellers

home WORK

According to a recent study by Telework Research Network, 30 million people work from home at least once a week, and that number is expected to grow by 63 percent over the next five years. While dedicating an entire room for a home office is ideal, it’s not always practical. With smaller laptops and office furnishings and Wi-Fi connections, work areas can be set up anywhere in the home. Before setting up a workspace at home, here are a few ideas to consider. Reliable power. Many older homes may not have sufficient power or may lack grounded outlets. An electrician can do a wiring inspection and upgrade outlets and circuits as needed. A strong Internet connection is also important. Make sure your DSL or cable modem is functioning well and can handle a demanding workload.

Adequate storage. Storage solutions don’t have to be fancy or expensive, but they do need to be tailored to hold everything you need, including reference books, office supplies and files.

Sufficient lighting. Tasks like reading or drafting require lighting that shines directly on the work. For task lighting, use energy-efficient, long-lasting LEDs and a dimmer switch to control levels. Work surface. The type of work you do will determine the size of work surface you need. A longer, wider area is better for spreading out papers, while a smaller desk may work best for reading documents and making phone calls. If you use a printer every day, place it within easy reach. Seating. If you sit for long periods, invest in an ergonomic chair. Though it may cost more, it can provide better comfort and support for your back.

E REFER RA LS!

SAY YES TO CRS EQUAL HOUSING

Buying or selling a home can seem like an overwhelming task. But the right REALTOR® can make the process easier — and more profitable. A Certified Residential Specialist (CRS), with years of experience and success, will help you make smart decisions in a fast-paced, complex and competitive marketplace. To earn the CRS Designation, REALTORS® must demonstrate outstanding professional achievements — including high-volume sales — and pursue advanced training in areas such as finance, marketing and technology. They must also maintain membership in the National Association of REALTORS® and abide by its Code of Ethics. Work with a REALTOR® who belongs in the top 3 percent in the nation. Contact a CRS today.

DO YOU KNOW SOMEONE WHO IS THINKING ABOUT BUYING OR SELLING A HOME? PLEASE MENTION MY NAME. This newsletter is for informational purposes only and should not be substituted for legal or financial advice. If you are currently working with another real estate agent or broker, it is not a solicitation for business.

OPPORTUNITY

2016

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BUY A WEBINAR PACK, AND REGISTER FOR 5 OR 10 WEBINARS OF YOUR CHOOSING IN 2016.* Here’s a few upcoming webinars you might be interested in... February 03, 2016 Marketing in the Age of Relevance February 11, 2016 Mobile Office Technology Strategies: Gmail Resources February 16, 2016 Luxury Homes Series, Part 1: 7 Steps to Break into Luxury Real Estate February 18, 2016 Luxury Homes Series, Part 2: Use Story to Succeed in Luxury Real Estate and Beyond February 24, 2016 Master Property Management Basics March 02, 2016 Cover More Bases to Generate More Leads *Coupon packs are valid for Live and Recorded Webinars and must be used by 12/31/16.

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ask a

CRS advice from your peers

D ATA D Y N A M I C S

What do you prefer to use as your customer relationship management (CRM) system and what is your experience with it?

“ I just started using ixactcontact.com as a CRM. It has features of newsletters, periodic emails and many more. It will take time to implement all the features, but it is definitely worth a look.” Prasad Bodus, CRS Buy Sell Home Realty Fremont, California Prasad@BuySellHome.net

“ I am still utilizing my Top Producer as my CRS. My entire database is there with my various types (Sphere, Farm, Preferred Clients, Buyer and Sellers) of designations. It has kept me on track for years to contact each group or individual when necessary. I was always told the best CRM is the one you use.” Carolyn Kelly, CRS Coldwell Banker Troy Helman Terre Haute, Indiana carolyn.kelly@coldwellbanker.com

“ I also use IXACT as my contact CRM. I am still in the learning phase but am enjoying it so far.” Mary McCarty, CRS RE/MAX Regency Warrenton, Virginia mmccarty701@gmail.com

Participate in active discussions like this at the Council of Residential Specialists’ LinkedIn page at goo.gl/LZLmrx.

Jan Feb

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FEBRUARY 9-10, 2017

ARIZONA GRAND RESORT & SPA PHOENIX, AZ

In 2017, the brightest stars in residential real estate will head to Phoenix, AZ on February 9-10 for 2 days of unparalleled networking opportunities, business building strategies, and the chance to hear insights from top-producing agents and industry leaders. Invest in the future of your business and register today!

PRE-REGISTER BY MARCH 15 FOR ONLY $499!

crs.com/sell-a-bration

RADON Why it matters WHAT IS RADON? • Radon is a colorless, odorless and tasteless radioactive gas formed by the breakdown of uranium, a natural radioactive material found in soil, rock and groundwater. • Radon released from the ground can build up to hazardous levels inside a home.

WHY TEST FOR RADON? • Radon is the second leading cause of lung cancer after smoking, putting your clients’ health at risk. • Nearly 1 in 15 homes in the United States and Canada has an elevated radon level, even in areas with fairly low environmental radon.

Ask about our

Home Inspection Packages!

• Any home may have a radon problem – old or new homes, well-sealed or drafty homes, and homes with or without basements.

Pillar To Post Home Inspectors can test your client’s home for radon.* For more detailed information, visit the website below.

800-294-5591 *Services vary by location.

pillartopost.com/radon